MAKING TAX DIGITAL (MTD) SOFTWARE
Make tax returns
a breeze with
MTD software
Keep business records, send quarterly updates, and submit VAT and Income Tax returns with Crunch. It’s fast, easy to use, and HMRC-compliant.
Why you need
MTD software
Making Tax Digital (MTD) is a UK government initiative to reinvent the tax system, making it more effective, more efficient, and easier for taxpayers to get right.
Since April 2022, all VAT-registered limited companies, sole traders, and landlords have needed HMRC-compliant accounting software to send their VAT returns.
From 6th April 2024, this will be extended to Income Tax if you earn more than £10,000. So the sooner you switch, the sooner you’re ready for Making Tax Digital.
Need some advice?
We can let you know if you need MTD software for your business – now or in the future.
Three ways MTD software makes life easier
With MTD-compliant software, you can break free from the stress and frustration of annual tax returns – giving you more time for the stuff that really matters.
Save time on your taxes
No more receipt hoarding and number-crunching marathons. With Crunch, you can scan your expenses and track invoice payments on the fly. So next time your VAT and Income Tax deadlines roll around, the finish line is already in your sights.
See all your business records in one place
Generate quotes and invoices for your clients, then track which payments have landed and which ones are overdue. Less juggling spreadsheets, invoice documents, and bank statements. More feeling on top of your finances.
Submit your returns with confidence
Relax knowing that all your income and expenses are accounted for with Crunch. And because our MTD software is HMRC-approved, you can rest assured that your record-keeping and tax returns are in line with the latest standards.
Go digital today with Crunch
Our MTD software makes it easy to manage your business records and tax returns – all in one place.
Why use Crunch for Making Tax Digital
Send and track invoices to avoid chasing payments at the end of the tax year
Scan your expenses as you go, so you don’t have to worry about losing receipts
Connect your bank account to make sure your business records are accurate
Submit your VAT and Income Tax returns directly from our HMRC-recognised accounting software
Get expert support to make sure your business is MTD-compliant
How to register your business for digital tax returns
Once you’re up and running with Crunch MTD software, you’ll need to register your business with HMRC to start sending digital tax returns.
Here’s how you can register your business in four steps:
- Go to the MTD sign up page and click ‘Start’ now
- Confirm that you’re ready to start using MTD software
- Enter your Government Gateway ID and password to sign up
- Wait up to 72 hours for HMRC to give you the green light
Making Tax Digital (MTD) explained
Making Tax Digital (MTD) is a plan by the UK government to encourage more people to switch from paper to digital returns.
The goal is to revolutionise the tax system so that, instead of filling out a tax return once a year, you can submit your income and expenses every quarter using MTD software.
Watch our Q&A with HMRC’s MTD Customer Readiness representative, Verna Gellvear, to learn more:
Frequently asked questions about Crunch's accounting software
What is MTD software?
Making Tax Digital (MTD) software is an online tool that allows you to keep digital records and submit tax returns for your business. You can generate and send invoices, track payments, and scan expenses throughout the tax year. You can submit your records and tax returns directly to HMRC in line with the UK government’s MTD initiative.
What is MTD-compatible software?
MTD-compatible software is any piece of accounting software that’s approved by the UK government’s Making Tax Digital initiative. They allow you to keep digital records for your business, send them to HMRC and submit your tax returns - saving time and stress on your VAT and Self Assessment.
What is MTD bridging software?
MTD bridging software is a tool that creates a digital link between a record-keeping spreadsheet and HMRC. This allows you to comply with Making Tax Digital regulations without switching to MTD software for all your record keeping. However, you may still need to change the way you record data to match the software’s required format.
Can you use Excel spreadsheets or Google Sheets for MTD?
Yes, you can use spreadsheets to keep your business records, but you can’t enter this data manually anymore when it’s time to complete your tax returns. If you want to continue using spreadsheets for your accounting, you’ll need MTD bridging software to transfer the data to HMRC.
Will HMRC provide free software for Making Tax Digital?
HMRC does not provide free software for Making Tax Digital. Instead, HMRC provides a list of software that’s compatible with their Making Tax Digital initiative. This includes software packages like Crunch that allow you to keep digital records and submit VAT returns. And it also includes bridging software to connect spreadsheets to HMRC systems.
Do you need to keep receipts after scanning them into MTD software?
No, you don’t need to keep your receipts after scanning them. Here’s what HMRC’s general guide to keeping records for your tax returns says: “You can keep most records on a computer or use any storage device such as CD-ROM, USB memory stick or a network drive. You may not need to keep the original paper records as long as the method you use captures all the information (front and back) on the document and allows you to present the information to us in a readable format, if requested.”
Do you need to store images of invoices and expense receipts on MTD software?
MTD software makes it super easy to generate invoices for your business. You don’t need to scan these in or upload any images because your invoices are built into our software. For expense receipts, you can choose whether to upload an image of your receipt, keep the paper copy or both.
Get started with Crunch
Take the stress out of your accounting and tax returns today with Crunch. Fast, easy and HMRC-compliant.
