Guide
Choosing software for your MTD.
Under MTD for Income Tax you'll need compatible software to keep digital records, send quarterly updates and file your year-end return. Here's how to pick one.
Step 1
Know the three types of software
Software packages
Keep your digital records and send updates to HMRC, all in one place.
API spreadsheets
Spreadsheets with a built-in link that files straight to HMRC.
Bridging software
Keep your existing spreadsheets and use a 'bridge' to send the figures to HMRC.
Step 2
Look at popular options
A selection of well-known products that support quarterly updates and the year-end Self Assessment return. We don't recommend any one product — check each provider's site for prices and features.
| Software | Type | Good for |
|---|---|---|
| Xero | Record-keeping | Businesses and agents |
| QuickBooks Online | Record-keeping | Individuals and agents |
| FreeAgent | Record-keeping | Businesses and agents |
| Sage Accounting | Record-keeping | Businesses and agents |
| Sage Individual | Record-keeping (free) | Individuals and agents |
| Coconut | Record-keeping and bridging | Individuals and agents |
| Hammock | Record-keeping for landlords | Individuals and agents |
| QuickFile | Record-keeping | Individuals and agents |
| Clear Books (incl. free version) | Record-keeping | Individuals and agents |
| IRIS KashFlow | Record-keeping | Businesses and agents |
| 123 Sheets | Bridging and API spreadsheets | Businesses and agents |
HMRC no longer publishes a full list; use HMRC's software finder to confirm a product suits you.
Step 3
Check these before you sign up
How will you keep records?
Typing figures in, linking your business bank account, snapping receipts, or sticking with spreadsheets plus bridging software.
Does your year match the tax year?
If your accounts run 1 April to 31 March you may want 'calendar update periods' — not every product supports them.
Which income do you have?
Some products only handle certain income types, so check it covers self-employment, UK property or both.
Can it file the whole lot?
Make sure it sends quarterly updates and your year-end Self Assessment return.
Real humans, real help
Rather someone just sorted it?
Tell us about your situation and we'll point you to the right professional support. No jargon, no judgement, no 40-minute hold music.