Get ready for Making Tax Digital for Income Tax

Prepare for lift-off with MTD-compatible software built for small businesses and landlords, and their accountants.

  • One end-to-end solution for MTD for Income Tax and MTD for VAT
  • Submit quarterly updates and file your final declaration directly to HMRC
  • Simple digital record keeping with automations that speed up your admin

Accountant or bookkeeper? Find out more

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We’re here to guide you through your first flight

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Get up to speed in no time

No technology headaches - FreeAgent is quick to set up and easy to use. That’s why we were voted Friendliest Accounting Software*.

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Tested and approved

FreeAgent makes it easy to stay compliant - we’ve worked with HMRC to create simple, reliable software that meets all their new rules.

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You’re not alone

Our award-winning UK-based support team are on hand by phone, live chat or email. We’ll be with you every step of the way.

Everything you need for MTD for Income Tax and beyond

MTD for sole traders

  • All your information in one place: connect your bank account and sync transactions
  • Automatically filled quarterly updates: check and submit directly to HMRC in just a couple of clicks
  • Stay accurate: find an accountant through FreeAgent who can check your year-end submission
  • View your latest tax calculation: see what you owe and when it’s due throughout the year
  • Save time on admin: sync your bank transactions and watch as FreeAgent suggests categories for you
Tablet screen showing quarterly updates for MTD in FreeAgent.

What does MTD for Income Tax change for you?

Screenshot showing the Profit and Loss calculations in FreeAgent.

Keep digital records

You’ll need to keep digital records of all your business or property income and expenses.

Screenshot showing MTD quarterly updates in FreeAgent.

Send quarterly updates

You’ll need to send a summary of your business income and expenses to HMRC every three months through MTD-compatible software.

Screenshot showing MTD for Income Tax Final Declaration in FreeAgent.

Submit final declaration

At the end of the tax year, you’ll need to complete a final declaration, instead of a Self Assessment, and send this to HMRC.

When's it happening?

  1. April 2022

    MTD for VAT applies to all VAT-registered businesses

  2. April 2026

    MTD for Income Tax will apply to most self-employed individuals and landlords with qualifying income over £50,000

  3. April 2027

    MTD for Income Tax will apply to most self-employed individuals and landlords with qualifying income over £30,000

  4. April 2028

    MTD for Income Tax will apply to most self-employed individuals and landlords with qualifying income over £20,000

More MTD for Income Tax resources

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What is Making Tax Digital?

Your one-stop shop to understand Making Tax Digital and how it may affect you.

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Everything you need to know about digital record keeping

Discover the benefits of digital record keeping for you and your business - there’s more than just complying with HMRC!

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MTD for Income Tax: what landlords need to know

Get your head around how MTD will affect you, including how accounting software can make managing your properties easier than ever.

Don't take our word for it!

Nine out of 10 businesses feel more confident about their business finances using FreeAgent - why not join them?

I don't have any concerns about Making Tax Digital for Income Tax, because I know FreeAgent are well prepared for it.

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Jennifer Maslin
Performer and singing teacher

I really love that I can submit my tax return right in FreeAgent. It actually makes doing a tax return stress-free.

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Zoe East
Filmmaker and founder of Opal

Get started with HMRC-recognised software today

  • 30-day free trial
  • Cancel at any time
  • Making Tax Digital-compatible
Select your business type:

Billed monthly

Save £57
Regular price: £19/month
Introductory price £9.50 /month

50% off for your first six months

All prices excl. 20% VAT

Start your 30-day free trial

Optional add-ons

Unlimited receipt and bill captures
£5/month. Billed monthly.1

Unlock unlimited use of the Smart Capture tool, which offers automatic data extraction, transaction matching and categorisation for receipt and bill images and files. Ideal for anyone who processes more than 10 files a month. (Price excl. 20% VAT).

Connect with Amazon

£6/month. Billed monthly.2
Connect your Amazon UK Marketplace account to FreeAgent to save time and streamline your admin if you're selling online. (Price excl. 20% VAT).

Billed annually

Save £95
Regular price: £190/year
Introductory price £95 /year

50% off for your first year

Equivalent to £7.92/month

All prices excl. 20% VAT

Start your 30-day free trial

Optional add-ons

Unlimited receipt and bill captures
£5/month. Billed monthly.1

Unlock unlimited use of the Smart Capture tool, which offers automatic data extraction, transaction matching and categorisation for receipt and bill images and files. Ideal for anyone who processes more than 10 files a month. (Price excl. 20% VAT).

Connect with Amazon

£6/month. Billed monthly.2
Connect your Amazon UK Marketplace account to FreeAgent to save time and streamline your admin if you're selling online. (Price excl. 20% VAT).

Free

Introductory price £0.00

If you have a business current account with NatWest, Royal Bank of Scotland, Ulster Bank, for as long as you retain the account - or have a Mettle bank account and make at least one transaction a month. Optional add-ons may be chargeable.

Get your free account

Optional add-ons

Unlimited receipt and bill captures
£5/month. Billed monthly.1

Unlock unlimited use of the Smart Capture tool, which offers automatic data extraction, transaction matching and categorisation for receipt and bill images and files. Ideal for anyone who processes more than 10 files a month. (Price excl. 20% VAT).

Connect with Amazon

£6/month. Billed monthly.2
Connect your Amazon UK Marketplace account to FreeAgent to save time and streamline your admin if you're selling online. (Price excl. 20% VAT).

What's included in your FreeAgent subscription?

Nail the daily admin

Dashboard

See the big picture for your business including cashflow, profit and loss, invoice and tax timelines.

Mobile app

Nail your admin on the go. Record expenses, track time, manage invoices and more.

Radar

Get unique insights into your business performance with tailored trend-spotting and tips.

Invoicing

Get paid faster with smart invoicing tools. Create automated invoices and reminders and set up easy online payments.

Estimates

Create and send professional estimates from templates and convert them to invoices in a click.

Expenses

Track costs quickly and easily. Snap receipts and record out-of-pocket expenses on the go.

Smart Capture1

Process receipts and bills faster with automatic data extraction, transaction matching and categorisation.

Projects

Check project income, expenses and profitability, and manage complex projects with ease.

Time tracking

Track the time you spend on projects, add this to invoices and generate timesheet reports.

Payroll

Run monthly payroll and file auto-calculated PAYE and National Insurance directly to HMRC.

UK-based support

Speak to our UK-based support accountants online or over the phone if you ever need help.

Relax about tax

VAT

Generate MTD-compatible VAT returns automatically and file them directly to HMRC in minutes.

Self Assessment

Get a real-time view of how much you owe for your tax return and file it directly to HMRC.

Tax Timeline

Get a real-time view of your tax calculation including what you owe and when it’s due.

Manage your finances

Banking

Track your finances with ease and accuracy by setting up a bank feed to automatically import your business transactions.

Smart categorisation

Save time with smart categorisation which automatically explains new transactions based on previous descriptions.

Cashflow

Track your incomings and outgoings and see what’s ahead with the Cashflow forecast.

One-click payments

Make it easier for your customers to pay you with payment solutions from Tyl by NatWest, Stripe, GoCardless and PayPal.

Optional add-ons

All prices excl. 20% VAT

Smart Capture Unlimited1

£5/month. Billed monthly.
Unlock unlimited use of the Smart Capture tool. Ideal if you need to process more than 10 receipts and bills per month.

Amazon2

£6/month. Billed monthly.
Connect your Amazon UK account to FreeAgent to save time and streamline your admin if you sell online.

All businesses can use Smart Capture to process up to 10 receipts and bills per month as standard. The Smart Capture Unlimited add-on enables unlimited use of the feature. You can purchase the add-on for £5 (+ VAT) per month from within your FreeAgent account once you’ve subscribed. Find out more about Smart Capture.

You can purchase the Amazon add-on for £6 (+ VAT) per month from within your FreeAgent account. Find out more about the Amazon add-on.

Accountant or bookkeeper? Find out more about FreeAgent for practices.

* Friendliest Software of the Year, Institute of Certified Bookkeepers Luca Awards 2024, 2023 and 2022.