Once the 10,000-signature mark was crossed, this triggered a formal government response, but it is a long way from the 100,000 target to require a parliamentary debate.

The petition is calling for a stop to Making Tax Digital (MTD) for Income Tax, which is due to come into force for higher earning self employed, sole traders and landlords with income over £50,000 from April 2026, requiring them to file quarterly updates digitally with HMRC and then a year-end summary.

Petition organiser Saira Khan is critical of the plan to implement MTD and enforce quarterly submissions to HMRC, arguing that ‘currently many small businesses use paper accounting records or spreadsheets. Small businesses may lack the skills, time and funding to maintain digital accounts’.

‘It is taxing enough for many of us to submit a yearly tax return to HMRC. But now we think this new implementation of making tax digital, using new software and quarterly submissions is taking things just too far.

‘Please stop making tax digital which is due to be started in April 2026. We think paying tax is hard enough but this is going to just add insult to injury.’

HMRC is ramping up its communications campaign for MTD for Income Tax with a dedicated portal for the new reporting system, extensive guidance and letters have been sent to affected taxpayers.

But they have a mountain to climb as HMRC estimates 864,000 taxpayers will fall under the £50,000 phase one of MTD.

Over 2,000 taxpayers, including individuals and accountancy firms, are currently signed up to the beta trial, which is testing systems to ensure that HMRC’s IT systems are able to process the volume of returns and calculate the correct tax.

Craig Ogilvie, MTD director at HMRC, said: ‘Making Tax Digital for Income Tax is about spreading your tax admin throughout the year instead of that January scramble to complete your self assessment return. Early feedback from our testing participants shows the system is straightforward once you are familiar with it.

‘MTD for Income Tax is not as scary as it sounds. You will not be filing extra tax returns. The required quarterly updates are simple summaries that your software generates automatically. Think of it as digital bookkeeping that talks to HMRC four times a year, rather than cramming everything into January for your self assessment return. If you spot an error, you can fix it in the next update.’

There is some free software available, notably from Sage, but this is a basic, stripped back offering compared with the features on the paid options the company offers, so many taxpayers will likely have to end up paying for a subscription service, with prices starting at between £15 and £30 a month.

What is really important to note is that MTD will be expanded further in April 2027, targeting self employed and landlords with income as low as £30,000 a year. At this point several millions will be dragged into quarterly reporting.

George Holmes, managing director of business finance specialists Aurora Capital, said: ‘Passing the 10,000-signature mark is significant because it shows there is real unease around MTD, and the government must now respond.

‘Sole traders and landlords are communicating to the government in clear terms that the policy feels like another burden.

‘The concern with the new system is the additional costs and administrative burden. HMRC’s own figures estimate that the transitional costs will be nearly £300 per business, and the promise that free software will cover most needs looks increasingly unrealistic.

‘The government need to take this petition seriously. If thousands of taxpayers are willing to sign their name against MTD, it shows the difference between what HMRC says and what small businesses are actually experiencing.’

Find out more at Petition, Stop HMRC implementing making tax digital and enforcing quarterly submissions

Business & Accountancy Daily has extensive coverage about the extension of MTD all available in one place on our Making Tax Digital page, including how to articles, webinars, CPD modules and the key filing deadlines