MTD records for freelance consultants and it contractors: what to keep and what to ask for each quarter
For bookkeepers and accountants with clients who are self-employed consultants, IT contractors and freelancers working as sole traders. Under Making Tax Digital for Income Tax, each income and expense needs a digital record of the amount, the date and the category, and each quarterly update covers the tax year so far (Create digital records (MTD for Income Tax)). Here is what that means for freelance consultants and it contractors, and a request you can copy.
What they should keep
- Invoices to each client and when they were paid
- Payments through freelance platforms (Upwork, Fiverr)
- Software, equipment and subscriptions
- Professional insurance and memberships
- Working from home: hours per month or actual costs
- Travel to client sites
What to ask them for each quarter
- Invoices issued and paid this quarter
- Freelance platform statements
- Software, equipment and insurance receipts
- Travel to client sites, and home-working hours if you claim them
Watch-outs for freelance consultants and it contractors
- If they work from home for 25 hours or more a month, simplified expenses allow a flat monthly rate instead of working out the business share of household bills: £10 for 25 to 50 hours, £18 for 51 to 100, £26 for 101 or more. Phone and internet are claimed separately at the business share. (Simplified expenses: working from home)
- Online platforms that connect sellers with customers can report sellers' details, including what they were paid, to HMRC, so platform statements and the records sent to HMRC should match. (Reporting rules for digital platforms)
- For a car or van, simplified expenses let them claim a flat rate per business mile instead of actual running costs: 55p a mile for the first 10,000 miles and 25p after, for the 2026 to 2027 tax year (45p before 6 April 2026). Either way, they need a log of business miles. (Simplified expenses: vehicles)
Copy a request for this client
Subject: Your records for [quarter], by [ask-by date] please Hi [first name], Your Making Tax Digital quarterly update for [period start] to [period end] is due to HMRC on [deadline]. Could you send me these by [ask-by date]: - Invoices issued and paid this quarter - Freelance platform statements - Software, equipment and insurance receipts - Travel to client sites, and home-working hours if you claim them Photos and PDFs are fine. If nothing changed this quarter, just reply "nothing to report". Send them here: [your link] Thanks, [your name]
Hi [first name], it's [your name]. MTD update for [dates] is due [deadline]. Could you send me your invoices (and which are paid), platform statements and expense receipts by [ask-by date]? [your link] Thanks!
Quarterly deadlines: 7 August, 7 November, 7 February and 7 May (Send quarterly updates (MTD for Income Tax)). Deadline calculator · General request templates
Sources: GOV.UK, Simplified expenses: working from home, Reporting rules for digital platforms, Simplified expenses: vehicles, Create digital records (MTD for Income Tax), Send quarterly updates (MTD for Income Tax) (read November 2026). A practical checklist, not tax advice.
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