Football pundit Gary Neville calls on sole traders to master new tax rules ahead of the first Making Tax Digital (MTD) deadline on August 7, as confusion risks leaving hundreds of thousands unprepared.
Recent research reveals that seven in ten sole traders lack clarity on required actions under HMRC’s MTD rollout, with just 37% aware of the impending August 7 cutoff. Only 8% currently use software to handle tax records, even though the rules are now active.
Gary Neville Leads Awareness Campaign for Construction Workers
Neville fronts an initiative targeting sole traders in construction, distributing 10,000 free high-visibility workwear items like jackets, polo shirts, and trousers. Participants also gain access to free MTD-compatible accounting software to streamline compliance and safeguard their operations.
Sole traders earning over £50,000, including landlords, must now maintain digital records and submit quarterly updates to HMRC via compatible software, followed by a year-end declaration. This replaces the traditional annual Self Assessment return. The UK hosts around 4.3 million sole traders.
There’s already enough admin pressure on sole traders trying to run a business day to day. A lot of people still don’t realise these tax changes are coming, so this is about helping tradespeople get ready with the right support and tools before the deadline hits.
Gary Neville, Manchester United legend and commentator.
Lisa Ewens, Senior Vice President of product for small business and accountants, emphasizes the shift’s impact: Many sole traders remain unaware of its scale. MTD aims to modernize tax reporting, but the primary hurdle for businesses is understanding next steps. This campaign clarifies requirements and directs users to essential resources.
Six Key Questions on Making Tax Digital
What is Making Tax Digital (MTD)?
MTD is a UK government program that mandates eligible sole traders and landlords to maintain digital records and submit tax updates through compatible software.
Who must comply with MTD?
Starting April 6, 2026, sole traders and landlords with gross income exceeding £50,000 face MTD requirements for Income Tax.
What changes for sole traders?
Affected individuals shift from annual Self Assessment returns to digital record-keeping and quarterly submissions to HMRC using approved software.
When is the first submission due?
Many sole traders must meet their initial quarterly MTD deadline by August 7.
Is MTD mandatory?
Yes, HMRC enforces MTD as a legal obligation for those in scope.
What qualifies as MTD-compatible software?
This software enables digital record-keeping and direct quarterly submissions to HMRC in full compliance with MTD standards.
