If you run your own practice as a therapist, counsellor or psychologist, there’s a tax deadline worth knowing about even if it feels far removed from client work: 7 August, the first quarterly submission date under Making Tax Digital for Income Tax (MTD IT).
For many self-employed practitioners already in scope, this isn’t a distant change. It’s the next thing due.
What MTD for Income Tax Actually Involves
If you’re within the scope of MTD IT, Self Assessment no longer works the way it used to. Instead of one annual return, you now need to:
- Keep digital records of your practice income and expenses
- Submit a quarterly summary to HMRC through approved software
- Complete a final declaration at the end of the tax year
The August deadline applies to the first group required to join — generally those with higher income levels. More self-employed practitioners will be brought in over the next couple of years as thresholds are lowered.
Why This Catches Therapists Off Guard
Running a private practice already means juggling client sessions, supervision, CPD, room hire and referrals. Bookkeeping is rarely the part anyone looks forward to — and that’s exactly why records fall behind, and why quarter one is often the hardest quarter.
A few things worth checking before 7 August:
Are your session fees and expenses recorded properly? Cash payments, invoiced clients, room rental, professional membership fees — all of it needs to be in your digital records, reconciled, not sitting in a shoebox or a spreadsheet you’ll “get to.”
Do you know which quarter you’re in? If nobody has confirmed this with you yet, that’s worth sorting before the deadline, not after a missed submission.
Is your software actually set up for your kind of work? Generic bookkeeping software doesn’t always map neatly onto how therapists invoice and get paid. It’s worth having someone check the setup rather than assuming it’s right.
Let Us Handle the Numbers
Therapists Accounting was set up specifically for mental health and wellness professionals, because general accountants don’t always understand how a private practice actually runs. We handle the digital records, the quarterly submissions and everything in between — so you can stay focused on your clients, not HMRC deadlines.