From April 2024, all self employed individuals and landlords with income over £10,000 will have to report earnings through the new Making Tax Digital for income tax self assessment (MTD for ITSA) system.

The overwhelming majority (97%) of respondents to a survey by the Chartered Institute of Taxation (CIOT) and the Association of Taxation Technicians (ATT) did not think that MTD for income tax, in its current form, could be successfully introduced from April 2024.

There were widespread concerns around the proposed launch of the new requirement in 16 months’ time, and tax experts recommended pausing the roll-out to allow time for further consultation.

A low level of awareness about the upcoming changes was also a worry as HMRC has not yet started a major communications programme to alert taxpayers about their new reporting responsibilities.