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Making Tax Digital for sole traders

Making Tax Digital changes the record-keeping context around sole trader tax, even if your first priority is still simply budgeting for the bill.

What changes in practice

The shift toward digital records means a rough once-a-year estimate becomes less useful than regular, current profit tracking.

The more often you update your books, the more accurate your tax set-aside figure becomes. That matters far more than theoretical precision in one annual snapshot.

Use the calculator

Jump back into the sole trader calculator

The homepage calculator is the fastest way to turn this guidance into a concrete monthly take-home and tax reserve estimate.