HMRC has announced that Making Tax Digital for Corporation Tax (MTD for CT) will not be introduced.
Corporate tax draws in very small owner-managed businesses on one side, and large multinational enterprises on the other. In between are a myriad of entities, so any change to the corporation tax system needs to be right for all.
For this reason, the announcement that it will not be introduced has been welcomed by tax experts and policy steering groups.
Making Tax Digital
Making Tax Digital as a whole is part of a transformation of HMRC that James Murray MP, Exchequer Secretary to the Treasury and Chair of the HMRC Board sums up with:
‘The government’s vision for HMRC is a modern tax system that raises the revenue we need to support the public finances, whilst reducing the time that people spend managing their tax affairs.’
This vision is underpinned by three priorities:
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- Improving day-to-day performance for individuals and businesses,
- Â Closing the tax gap,
- Driving reform and modernisation of the UK’s tax and customs system.
So far Making Tax Digital for Income Tax is the strand that will be phased in from April 2026. Read more about who is affected and what needs to be done here .
For advice about the MTD changes, please contact our team of experts who will be more than happy to assist you.