Making Tax Digital · Sole traders
What to check in the month before an MTD quarter ends
ONLY£15A MONTHA month before quarter end is a useful time to fix the process rather than rush the submission.
A month before quarter end is a useful time to fix the process rather than rush the submission. You can check that records arrive reliably, resolve access problems and identify unusual transactions. This guide uses the first 2026/27 quarter as an example, with dates stated explicitly.
Confirm the reporting calendar
The standard first period ran from 6 April to 5 July 2026. The calendar alternative ran from 1 April to 30 June. Both had a 7 August deadline. Check the election in the software rather than assuming the period from a monthly statement.
Review income sources and accounts now. An extra trade, a rental business or a payment platform can change what records and submissions are needed. Each business needs the correct coverage.
Practise the review without filing a guess
Open a draft summary and understand where its totals come from. Trace one income amount and one expense category back to the records. If the figures are incomplete, keep them as draft while you resolve the source.
Do not send a production submission solely as a “test” of the connection. Use the supported preview or validation features. Early updates have conditions, including the rule allowing submission up to ten days before period end where no further transactions are expected.
Worked example: choosing the right period
Maya uses calendar update periods. Her first cut-off is 30 June, so July transactions should not be added merely because a standard-period checklist mentions 5 July.
She checks the selection before her first submission, reviews the April–June records and keeps the same filing deadline of 7 August. The bank statement dates and software setting now tell a consistent story.
A review that checks more than the total
Start with coverage: the correct person, business and period, plus all relevant accounts and cash records. Then look at completeness. A feed can be connected today while still missing an earlier week. Confirm the earliest and latest transactions against the source.
Next, inspect unusual items. Large transfers, loan receipts, refunds, net settlements and private purchases often need more context than a bank description provides. Check for duplicate imports where a statement overlaps a live feed. An automatic warning is useful evidence to investigate, not proof that the entry must be removed.
Finally, review category totals. A category unexpectedly showing zero, a large increase or a negative amount deserves an explanation. You do not have to make every annual tax adjustment at this stage, but you should understand the records behind the summary you approve.
HMRC explains what quarterly updates contain. Keep the approved version and the resulting acknowledgement together. If something later changes, correct the source record and use the software's supported update process so you can explain which figures are current.
Keep the reporting dates separate from payment dates
The standard first update for 2026/27 covers 6 April to 5 July 2026 and was due by 7 August 2026. The second covers 6 April to 5 October 2026 and is due by 7 November 2026. The third and fourth deadlines are 7 February 2027 and 7 May 2027. These are cumulative updates, not four isolated sets of three-month totals.
Calendar periods have different cut-offs and the same filing deadlines. Check the setting for each business rather than assuming the dates from a bank statement. HMRC lists both reporting calendars.
The annual return for 2026/27 is due by 31 January 2028. The earlier 2025/26 return normally remains due online by 31 January 2027. Keeping those years distinct avoids a common transition-year misunderstanding.
Payments on account, where required, follow their own January and July timetable. An update acknowledgement confirms a reporting event; it does not confirm that an outstanding tax bill has been paid. Check your actual HMRC account and payment obligations separately from the software's progress indicators.
Choose software by the work it needs to do
Start with your actual income sources and records. A sole trade, a UK property business and foreign property can involve different requirements. A product suitable for one set of circumstances is not automatically suitable for every annual-return item you might have.
HMRC's software guidance allows different approaches, including software connected to existing spreadsheets. Check the complete workflow: importing or recording transactions, reviewing the quarterly summary, submitting it, making corrections and completing the annual return.
Try a representative sample that includes a refund, a private transaction, a cash item and an awkward bank description. Ask how the system handles a missing period and how you export records if you leave. These questions are more informative than a long feature list.
Software support and professional tax advice are different services. Confirm who answers each kind of question, when help is available and what the quoted fee covers. Avona.app's entry-level self-service price is £15/month; professional services and additional product capabilities should be checked against the current scope rather than assumed to be included.
Use the remaining time well
Confirm access, obtain missing statements and decide who approves the summary. Leave a written list of annual matters to revisit. The goal is to reach quarter end with a functioning record process, rather than discover a missing account during filing week.
Take the next step
Avona.app offers a self-service route from £15/month. Bring your records together, review the figures and choose a workflow that fits your business. For professional help, discuss the scope and total price of Avona Concierge, managed by chartered accountants, before choosing a service.