If you’re a therapist, counsellor, psychologist, or mental health professional, big changes are on the horizon for how you manage your tax.
Starting April 2026, Making Tax Digital (MTD) for Income Tax will apply to anyone earning over £50,000 from self-employment or property. For many professionals working independently, this means adapting to a new way of working with HMRC.
Key dates to know:
- April 2026: Applies to income over £50,000
- April 2027: Over £30,000
- April 2028: Over £20,000
What will change?
- Instead of one yearly tax return, you’ll submit quarterly updates plus a final year-end report.
- You must use HMRC-approved accounting software – spreadsheets or handwritten notes won’t be enough.
- You’ll need to maintain digital records of your income and expenses.
This may sound like extra admin, but in reality, it’s an opportunity to streamline your finances. The right software can simplify your record-keeping and help you stay on top of your tax throughout the year.
We’re here to support you. At Therapists Accounting, we specialise in helping mental health professionals stay compliant while focusing on what matters most—your clients. We’ll help you choose the best tools, get everything set up, and handle the technical side so you don’t have to.
If you’re unsure where to start with Making Tax Digital, just get in touch. We’re here to guide you every step of the way.