Communication Guide for Accountants about MTD IT changes

For accountants and bookkeepers, the coming years will mark one of the most significant shifts in client compliance since the introduction of self-assessment. Making Tax Digital (MTD) for Income Tax Self-Assessment (ITSA) begins in April 2026 for sole traders and landlords earning over £50,000, and extends to those earning over £30,000 from 2027.

The legislation is clear. The real challenge, however, lies not just in compliance but in how you guide your clients through this new way of working. Some are already comfortable with cloud accounting, while others are still rooted in spreadsheets or even shoeboxes full of paper records. Many will feel uncertain, even resistant, to what MTD means for them.

This is where you have a vital role—not just as a compliance expert, but as a communicator, educator, and trusted advisor.

Why Communication Matters as Much as Compliance

The shift to digital reporting is not simply a technical adjustment. For many clients, it represents a fundamental change: moving from a once-a-year tax return to a world of quarterly updates and digital record-keeping.

Handled poorly, this transition could create confusion, anxiety, and strain client relationships. Handled well, it presents an opportunity to build deeper trust, demonstrate leadership, and show the true value of your professional advice. The firms that thrive under MTD will be those that invest in communication as much as they invest in their systems.

The Real Challenge: The Data Entry Bottleneck

Before you can guide clients with confidence, your practice needs to be ready. This means looking beyond just MTD-compliant software and examining your entire workflow. The move to quarterly submissions means one thing above all: a massive increase in the frequency of data collection and processing.

Manually entering every purchase, sale, and expense four times a year, for every client, is not sustainable. This is where the real compliance burden lies.

To solve this, we developed Acxite from the ground up with automation in mind. Rather than forcing clients (or your team) to become manual data entry clerks, we focused on the source of the information: the documents themselves. With Acxite, you can upload scanned bills, supplier statements, bank statements, or sales invoices. Our system extracts the data and prepares the accounting transactions in the background, slashing manual entry and freeing up your time to focus on what matters.

Educating Clients: From Uncertainty to Effortless Submission

The cornerstone of a successful MTD adoption is client education. The most effective firms will strip away the complexity and deliver a simple, reassuring message.

Instead of telling clients they need to learn complicated new software, imagine this conversation:

“For MTD, all I need you to do is send me digital copies of your bills and receipts. Just scan them or forward the emails, and we’ll handle the rest.”

This is the conversation Acxite empowers you to have. By focusing on the document, not the transaction, you meet clients where they are. You’re not asking them to change their business, just how they share their records. This simple shift turns a daunting technological hurdle into a manageable task.

To help you start these crucial conversations, we highly recommend these free email templates for the MTD transition.

Turning Resistance Into Opportunity

Objections are inevitable. Clients may worry about cost, feel nervous about technology, or question why change is necessary. The key is to meet those concerns with empathy and a practical solution.

• For the client who says, “I’m not good with technology”: Acxite is the perfect answer. They don’t need to learn double-entry bookkeeping. They just need to know how to use a scanner or forward an email. You handle the compliance, and the technology stays in the background.
• For the client who says, “This sounds expensive and time-consuming”: Frame the conversation around value. An automated, document-led system reduces errors, provides a clear digital audit trail, and gives them a more up-to-date picture of their business health.

A poorly managed transition can lead to client frustration. As this insightful article on AccountingWeb highlights, failing to manage change is one of the four key ways to lose clients. By offering a simple, automated path forward, you’re not just ensuring compliance; you’re strengthening your relationship.

A Practical Plan: Segment Your Clients

Not all clients will be at the same stage of their digital journey. Some may need more hands-on support, while others will adapt quickly. Segmenting your client base is a crucial first step in creating a tailored communication and rollout plan. Group them by income level, digital confidence, and current record-keeping methods.

To help you organise this, here is a free Excel template to segment your clients for MTD Income Tax.

And of course, be sure to first check if your clients are eligible for Making Tax Digital for Income Tax using the official GOV.UK guidance.

The Bigger Picture: Your Role as a Digital Advisor

MTD is more than a compliance exercise. It’s an opportunity to position your firm as an essential partner in a digital-first world. By leading with a clear plan and the right tools, you demonstrate that your value extends far beyond filing a tax return.

The firms that succeed will be those that combine technical expertise with strong communication, turning the challenge of compliance into an opportunity for greater efficiency and deeper client confidence.

Change is inevitable. How you help your clients navigate it will define your value for years to come.

Ready to transform your MTD workflow from a data-entry chore into an automated, efficient process? Discover how Acxite was built to solve this very challenge.