Making Tax Digital for the Self-Employed and Freelancers in the UK
If you earn from self-employment alongside a job, as a freelancer, contractor or CIS subcontractor, Making Tax Digital for Income Tax may now apply. ABM Chartered Accountants provides a complete Making Tax Digital for self employed service covering every submission.
Mixed Income Made Simple Under Making Tax Digital
Making Tax Digital for self employed people turns on qualifying income, which is gross self-employment turnover plus any property income before expenses. Employment salary, dividends and pensions are not counted when testing the £50,000 threshold, so a freelancer earning £40,000 from PAYE and £55,000 from consultancy is in scope, while one earning £80,000 from PAYE and £30,000 freelance is not until 2027.
We confirm your position, set up compatible software, submit four cumulative quarterly updates and then add employment income, dividends and CIS deductions at your final declaration.
Related Making Tax Digital Services
Our self-employed clients typically use these core MTD services. Each can be provided as part of a fixed monthly fee or on its own when you only need help with one stage.
MTD Readiness Assessment
We confirm whether MTD applies to you, when it starts and what changes.
MTD Registration
HMRC sign-up, agent authorisation and ongoing compliance support handled for you.
Software Setup
Selection and configuration of HMRC-recognised software for VAT and Income Tax.
Quarterly Updates
Cumulative quarterly updates prepared, checked and submitted before every 7th deadline.
HMRC Enquiry Support
Correspondence, queries and compliance checks from HMRC handled on your behalf.
Final Declaration
Year-end adjustments, reliefs and your MTD tax return filed by 31 January.
Why Freelancers Choose Managed Making Tax Digital
Threshold checked properly: We test your qualifying income correctly so you neither join early nor miss a mandation date.
Irregular income handled: Quiet quarters get nil or low updates and busy quarters are reflected accurately, refined at year end.
CIS refunds secured: Subcontractor deductions are tracked through the year and reclaimed at final declaration without delay.
Expenses maximised: Home office, travel, equipment and subscriptions are captured digitally as you go.
One fixed fee: Software, four updates, final declaration and support for a predictable monthly amount.
MTD Support for the Self-Employed Across the UK
ABM Chartered Accountants supports self-employed clients from our Canary Wharf office in London and remotely for freelancers and contractors in Manchester, Birmingham, Leeds, Glasgow, Bristol, Brighton and across the UK.
Self-Employed Professions We Support With MTD
We provide MTD for consultants and IT contractors, designers and creatives, construction subcontractors under CIS, healthcare locums, delivery and gig economy workers, tutors and coaches, and anyone running a side business alongside employment.
Why Choose ABM for Self-Employed MTD Support
Mixed Income Specialists
We handle PAYE, self-employment, CIS and property income together, so your final declaration is complete and accurate.
Fixed Monthly Fee
No hourly surprises. One agreed amount covers software, quarterly updates, final declaration and questions during the year.
Freelancer-Friendly Process
Photograph receipts, connect your bank and approve updates on your phone. We do everything else.
How We Work
Initial Consultation
Set Up and Onboard
Ongoing Support
We provide regular reviews and proactive advice to keep your finances optimised and HMRC-compliant.
Get in Touch Today
Whether you need help with your tax return, payroll, VAT, or business advisory, our qualified UK accountants are ready to provide clear, practical guidance for your specific needs.
Book a Consultation
Fill in the form below and one of our expert accountants will contact you promptly to discuss your accounting and tax requirements.
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MTD for Self-Employed FAQs
Answers to the questions freelancers, contractors and people with side businesses ask most about Making Tax Digital.
I am employed and self-employed, does MTD apply?
Only self-employment and property income count towards the threshold. If that gross income exceeded £50,000 in 2024 to 2025 you are in MTD now, regardless of salary. Employment income is added at final declaration.
Does MTD apply to a small side business?
Not yet if gross side income plus any property income is under £50,000. The threshold falls to £30,000 in April 2027 and £20,000 in April 2028, so many side businesses join then.
How does MTD work for CIS subcontractors?
Gross income before CIS deductions counts towards the threshold. Quarterly updates report income and expenses, and the tax deducted at source is set against your liability at final declaration.
My income is irregular, is that a problem?
No. Quarterly updates are cumulative summaries and can use provisional figures. Quiet quarters are reported as they are, and everything is finalised accurately in the final declaration by 31 January.
Can I still claim the trading allowance?
If your gross self-employment income is £1,000 or less you can use the trading allowance and are well below the MTD threshold. Above that, we claim actual expenses through your digital records.
Do I need to pay tax quarterly now?
No. Quarterly updates are information only. Tax is still paid by 31 January with payments on account on the usual dates. Updates simply give you an estimate earlier.