Making Tax Digital now mandatory: Important update for beauty and hair professionals

From 6 April 2026, ‘Making Tax Digital’ (MTD) for income tax is now mandatory for many UK sole traders and landlords, including beauty, hair, and wellness professionals.

Who is affected

MTD applies to individuals with total self-employment and/or property income over £50,000. This threshold is based on total income (turnover), not profit. The rules will expand further in the coming years, meaning more professionals are likely to be brought into scope. While these changes affect how records are kept and reported, the tax system itself does not change- self-assessment remains in place, with the tax return still due by 31 January and payments due on 31 January and 31 July.

What this means for your business

Leaving accounts until year-end is no longer practical and may lead to errors, missed deadlines, and increased administrative pressure. Businesses are now expected to:

• Keep digital records regularly using compatible software
• Submit quarterly updates to HMRC instead of relying on a single annual submission
• Use accounting software to manage records and submissions effectively
• Open a separate business bank account if you don’t already have one
• Take steps now to avoid disruption and stay compliant

Find out more

To learn more about these changes and who will be affected next, read the March issue of Guild Training Times.

Beauty Guild accounting services

Beauty Guild Members can access a 10% discount on accounting services through our partner, QAccounting. Click here to get a quote and receive support with your digital tax requirements.