What Hidden Opportunities Does MTD Unlock for Businesses Turning in Over £50k?
- bes Accountancy Services
- Jul 3
- 4 min read
Updated: Jul 18
The mandatory shift to quarterly reporting under Making Tax Digital (MTD) has left many business owners focused on compliance. But beyond the deadlines and software requirements, lies a bigger question, what are the MTD tax planning opportunities for businesses earning over £50,000?
At BES Accountancy, we help clients move beyond minimum compliance to maximum advantage. With real-time insights, digitised records, and structured updates, MTD offers proactive businesses an opportunity to streamline, optimise, and grow.
Want to uncover tax-saving potential in your quarterly updates?
Call our director Besnik today: 07816264205
The Strategic Value of MTD for High-Income Businesses
MTD is not just about ticking boxes for HMRC. For businesses making over £50,000 a year, the shift to digital tax returns for high-income businesses opens the door to regular, data-driven decision-making. Through quarterly submissions, your accounts are no longer static, they evolve in real time.
The result?
You gain visibility, agility, and control over your tax planning throughout the year, not just at the year-end.
This kind of regular visibility allows for better:
Expense categorisation
Deductions forecasting
Cash flow planning
Investment decisions
Dividend distribution strategies
At BES, we call this strategic tax clarity.
Why the £50k Threshold Matters
From April 2026, MTD for Income Tax Self Assessment (ITSA) becomes mandatory for self-employed individuals and landlords with income above £50,000. The £50k mark is not just a reporting threshold—it’s also a key tax planning pivot point.
Businesses earning at this level often miss opportunities due to outdated annual accounting cycles. Under MTD, you have four touchpoints per year to take control of:
Adjusting trading strategies in real time
Accelerating or deferring income
Making timely investments to maximise reliefs
Identifying overlooked expenses while they are still recoverable
MTD Tax Planning Opportunities: Where You Gain
1. Real-Time Visibility = Smarter Tax Decisions
By maintaining digital records that are always up to date, BES can analyse your position throughout the year and recommend tactical moves—whether that’s capital purchases, pension contributions, or delaying income to remain under thresholds.
2. More Frequent Review = Higher Accuracy
With four reporting periods per year, mistakes can be corrected early. We help you avoid end-of-year surprises, reduce penalties, and lock in tax reliefs.
3. Year-Round Deductions Monitoring
Our clients benefit from structured workflows that track eligible business expenses regularly, so nothing is missed. This is especially beneficial for those managing fluctuating costs like subcontractor payments or marketing budgets.
4. Enhanced Data = Stronger Grant and Loan Applications
Digital, well-structured records make it easier to apply for finance, grants, or business support schemes. Banks and funding bodies increasingly favour digital applicants.
Want to dive deeper into accounting for businesses?
Read our related blog, where we provide a full guide to submitting your File Your 2024/25 Tax Return Early.
Why Choose BES Accountancy?
Founded in 2020, BES Accountancy is a London-based firm serving clients across the UK. Led by Besnik Vata, a certified bookkeeper with an AAT licence, our team provides dedicated support to self-employed professionals, landlords, and SMEs navigating the complexities of digital tax compliance and strategic planning.
Our Services Include:
Full quarterly compliance for MTD for income tax 2025
Bookkeeping, VAT, payroll, and financial accounting
Tailored quarterly review meetings to assess MTD tax opportunities
Integration with Xero and QuickBooks
We focus on Availability, Efficiency, and Trust, ensuring our clients aren’t just MTD-compliant, but MTD-empowered.
MTD = Time to Rethink the Old Accounting Model
Quarterly tax submissions are not simply an inconvenience. They offer the perfect excuse to modernise outdated habits. At BES, we encourage clients to:
Move away from spreadsheet-based tracking
Automate reconciliations
Sync bank feeds and invoices
Schedule quarterly review meetings to align financial actions with tax outcomes
With digital tax returns for high-income businesses, staying ahead of HMRC becomes your new competitive advantage.
Stay Connected with BES
Follow us on our socials and stay updated with expert tax tips, important deadlines, and practical advice to keep your finances on track
Final Thoughts
If your business earns over £50,000, MTD is not just a rule to follow—it’s a framework to exploit. With the right tools and expert support, quarterly reporting can lead to smarter planning, sharper deductions, and better growth decisions.
Let BES Accountancy help you turn digital compliance into a strategic advantage.
Book your free consultation now and unlock quarterly tax strategies now.-
Call 07816264205 or visit us at our London office for a free consultation.
FAQ – MTD Tax Planning Opportunities
1. Can MTD really help reduce my tax bill?
Yes. While MTD itself does not reduce tax, it enables regular tax planning reviews. With updated records and quarterly reporting, BES can help you spot and apply reliefs or adjust financial activity to reduce tax liabilities efficiently.
2. Is MTD mandatory for all businesses over £50k?
From April 2026, MTD for Income Tax applies to landlords and self-employed individuals earning over £50,000. From 2027, this extends to those earning over £30,000. Other business types may be included in future expansions.
3. How does BES help high-income businesses with MTD?
We do more than submit data. We analyse trends, forecast liabilities, and develop quarterly tax-saving strategies, all powered by real-time accounting software.
4. What software should I use for digital tax returns?
We recommend Xero and QuickBooks, both HMRC-approved and well suited to MTD reporting. BES Accountancy offers training, setup, and managed services for both platforms.
5. Can I still use spreadsheets?
Only if they are connected to bridging software that meets HMRC’s requirements. However, for full MTD benefits—including tax planning—it’s best to use native digital platforms.
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