With less than two years until MTD for income tax becomes mandatory for sole traders and landlords in April 2024, accountants reveal that there is a lack of awareness about the forthcoming changes.

The recent SME tracker from the Association of Chartered Certified Accountants (ACCA) and Corporate Finance Network (CFN) surveyed 8,900 accountants and reveals that 14% of accountants state that their clients are ‘unprepared and will not be ready’ and 40% stating that their clients are ‘partially prepared’ but are ‘not confident that they will be ready’ for the extension to MTD.

In comparison, only 22% of accountants stated that their clients are fully prepared and have the appropriate software. The responses from Scotland reveal that 50% of accountants believe that their clients are partially prepared with only 16% stating that they are ready.