Two months to MTD: How Intuit QuickBooks continues to lead the software charge
Two months to MTD: How Intuit QuickBooks continues to lead the software charge
More than 20,000 sign-ups have now been recorded across the HMRC-led pilot, signalling strong momentum as the mandate approaches. In a recent update, Craig Ogilvie, Director of Making Tax Digital at HMRC, confirmed that Intuit QuickBooks is the leading software provider for those preparing for the transition having the highest number of cumulative sign-ups during the current testing period from April 2025 to January 2026.
With just two months to go until the mandate comes into force, attention is turning from awareness to readiness, as sole traders and agents prepare to move away from manual tax admin in favour of digital record-keeping and regular reporting.
Intuit QuickBooks has worked closely with HMRC throughout the development of MTD for Income Tax. As the first large provider to enter the initial testing phase, and the first to successfully submit a quarterly update for income tax, with our accountant partners being the first large provider to submit a final declaration, Intuit has consistently helped define what readiness looks like in practice.
From April 2026, MTD for Income tax will become mandatory for self-employed individuals and landlords with qualifying income over £50,000, marking a major milestone in HMRC’s long-term programme to modernise tax administration.
The change will see affected tax payers to keep digital records and submit quarterly updates using MTD-compatible software, followed by a final declaration at year end.
How MTD software is breaking the bottleneck for sole traders
For those already involved with the pilot, the bottlenecks MTD is designed to address are already clear. Emma Marszalek, Managing Director, Bay Bookkeeping Solutions and a pilot participant, says digital reporting highlights just how inefficient manual processes have become.
"Digital software improves the accuracy of reporting, gives a much better understanding of the figures and makes the information far more useful. Spreadsheets have their place, but the systems we have now, with digital bank feeds and built-in automation, are far superior to anything you could reasonably create manually. That’s why, even before MTD comes into force for everyone, I’m planning to onboard clients who aren’t yet mandated. If someone is around the £30,000 mark, I’d much rather they use the next year as a practice year. Not because they have to, but because it will be better for them. "
That experience is echoed more widely across the self-employed community. A new survey commissioned by Intuit QuickBooks, looking at the intensity of the year-end Self-Assessment rush found that:
- 83% of individuals complete their tax returns in December and January - Nearly 32% are working on them between Christmas and the New Year.
The same research shows that tax admin for sole traders can eat up a significant amount of time, with 51% spending at least 11 hours annually on-tax related tasks, climbing higher for top earners. The biggest pain points include:
Accuracy: Calculating and managing income and expenses accurately (22%)
Navigation: Populating the correct information on HMRC’s website (19%)
Organisation: Finding and sourcing receipts (14%)
These pinch points are exactly the kind of inefficiencies that MTD compatible software has been designed to eliminate.
The 40-hour gift: What HMRC’s VAT learnings show about time savings on offer with MTD software
The benefits of digitisation are already proven. Insights from HMRC’s analysis of MTD VAT, which went live in 2019, provide an encouraging reference point for the time savings that structured digital reporting can unlock. Their latest analysis of MTD for VAT shows that VAT registered individuals and businesses using fully functional MTD-compatible software save, on average, between 26 and 40 hours a year on their business finances and record keeping.
These time savings stem from more efficient digital record-keeping, reduced repetitive work, and streamlining the preparation and submission process, rather than from any single change to tax filing itself.
Our research explored how meaningful that time dividend could be. Across all respondents, the top ways people would use the time are:
34% would catch up on hobbies they’ve been promising themselves
31% would finally start the side project they’ve dreamed about
30% would invest in building new habits
29% would take a holiday—without their laptop
24% would reconnect with friends who often feel neglected
More than 55% of respondents said such a time saving would make January’s tax rush “a very different experience,” underlying why time remains one of the most powerful motivators behind the shift.
Intuit is setting the standard for digital readiness
Digital readiness among sole traders is on the rise—and Intuit QuickBooks has worked closely with HMRC throughout the development of MTD for Income tax.
Our research also shows that among these earners:
38% have already adopted MTD-compatible software
30% have selected software but not started using it
22% are exploring their options
However, 9% still haven’t taken any action—a decision that risks creating major stress down the line.
Leigh Thomas, VP of EMEA at Intuit, emphasises the importance of preparation: "Anyone who has a tax return to complete knows that January doesn’t feel like a fresh start—just more unfinished admin. What this survey shows is that Making Tax Digital offers a chance to break that cycle, and the potential 40-hour time saving is a rare gift. With two months to go, our goal is to ensure the technology clears the path.
How are AI and digital tools reshaping tax workflows?
Digital adoption doesn’t end with compliance. Artificial intelligence (AI) is playing a growing role in streamlining workflows and reducing manual work.
Our research shows that more than 36% of sole traders are incorporating AI tools into their processes, climbing to 40% among higher earners, with another 34% planning to embrace AI within the next year.
For accountants working with sole traders, like Abul Nurujjaman of TAJ Accountants, AI and software tools make an enormous difference: "It’s great to see that almost 1 in 4 sole traders view their accountant as the key to unlocking a 40-hour saving. Up-to-the-minute digital know-how is essential: we’re seeing our clients grapple with challenges such as managing income and expenses, sourcing receipts, and navigating HMRC’s online systems By bringing the right digital tools to the table, accountants can streamline processes, reduce errors and enhance decision-making for their clients. During the festive period, this matters more than ever – it’s the difference between spending time celebrating with family and spending time filing taxes at a computer.”
Taking action ahead of the April 2026 MTD for IT deadline
With less than two months before MTD Income Tax becomes mandatory for qualifying earners, sole traders are encouraged to get ahead and prepare effectively. The potential for a 40-hour time saving, reduced bottlenecks, and smoother submissions all depend on early preparation.
Amy Hancock, Director at Hancock and Hastings, summarises the importance of preparation perfectly: "It’s encouraging that the majority of sole traders are prepared for MTD, but the 9% who haven’t yet taken action risk creating additional stress for themselves down the line."
The journey to MTD is about much more than mandation; it’s a shift towards better visibility, reduced pressure, time savings, more predictable tax administration, and focusing on what matters most—whether that’s moving your business forward or spending quality time with loved ones.
So, the question is: how will you spend your reclaimed 40 hours? Now is the time to act.
For more information about MTD tools and how QuickBooks can support your transition, visit QuickBooks UK today. Let’s clear the path together.
Methodology:
The research was conducted by Censuswide, among a sample of 2,012(n) individuals who complete Income Tax Self-Assessments in the UK, and have current untaxed income over £20,000. The data was collected between 05.12.2025 - 10.12.2025. Censuswide abides by and employs members of the Market Research Society and follows the MRS code of conduct and ESOMAR principles. Censuswide is also a member of the British Polling Council.
The information on this website is provided free of charge and is intended to be helpful to a wide range of businesses. Because of its general nature the information cannot be taken as comprehensive and they do not constitute and should never be used as a substitute for legal, accounting, tax or professional advice. We cannot guarantee that the information applies to the individual circumstances of your business. Despite our best efforts it is possible that some information may be out of date. Any reliance you place on information found on this site or linked to on other websites will be at your own risk.
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