Compatible Software
Once you are mandated for MTD, HMRC requires all records and submissions to be made through compatible software — their manual portal will no longer be an option for you.Direct Answer
Compatible software is a digital tool (or set of tools) that meets HMRC's minimum standards for keeping digital records and submitting tax updates.
What Makes Software Compatible?
To be recognised by HMRC, software must be able to:
- Keep digital records of all income and expenses
- Submit quarterly updates directly to HMRC via API
- Support a Final Declaration at the end of the tax year
The Requirement
- If you are mandated for MTD, then you must use a commercial product like Taxd that is recognised by HMRC.
- The software must be able to send your quarterly updates and your Final Declaration directly through HMRC's APIs.
What About Spreadsheets?
If you already use Excel or Google Sheets, you don't need to start from scratch. Bridging software (like Taxd) can connect your existing spreadsheet to HMRC via a compliant digital link — keeping your familiar workflow intact while meeting MTD requirements.
How Taxd Helps
- HMRC-Recognised: Taxd is fully compatible and listed on HMRC's Software Choices.
- Bridging Support: Already using spreadsheets? Taxd acts as the digital link between your data and HMRC.
- End-to-End: We handle the entire journey — from recording a single expense in Keptd to submitting your Final Declaration.
- Five-Minute Setup: Connect your bank to Keptd and you are MTD-ready before your first deadline.
Ready to confirm your software is compliant? Start with Taxd today — it takes less than five minutes to connect.