"April 2026 may seem like a while away yet, but it’s clear that the changes on the horizon as a result of Making Tax Digital are already at the forefront of many self-employed business owners"
- Bradley Post - RIFT
New analysis by tax finance specialist RIFT has revealed a significant increase in searches for information on Making Tax Digital (MTD), as self-employed business owners face difficulties reaching HMRC for advice and support ahead of major reporting changes.
Making Tax Digital to become mandatory in 2026
From April 2026, Making Tax Digital for Income Tax Self-Assessment (MTD ITSA) will apply to self-employed individuals and landlords earning over £50,000 per year. Under the scheme, those affected must maintain digital records and submit quarterly updates using HMRC-approved software. The traditional single annual tax return will be replaced, though a final declaration will still be due by 31 January following the tax year’s end.
The system is intended to improve accuracy and provide taxpayers with more frequent updates on their obligations. However, it also brings new challenges. Businesses must adopt suitable software, which may involve added costs, and the quarterly reporting requirement introduces the risk of penalties and interest for late submissions.
RIFT’s analysis suggests that many affected businesses are proactively searching for guidance but are not receiving adequate support from HMRC.
Online search volumes for MTD rise sharply
The data shows a marked increase in online interest around Making Tax Digital. In Q3 2024, monthly searches for the term ‘Making Tax Digital’ averaged 8,760. This dipped slightly to 8,386 per month in Q4, before jumping to an average of 19,819 in the first quarter of 2025, driven by a spike of 34,017 in March alone.
So far in Q2 (April and May), interest has continued to rise. Average monthly search volume now stands at 43,648, indicating growing concern and demand for clarity.
Struggles to contact HMRC may be driving the surge
Additional government data examined by RIFT points to declining responsiveness at HMRC, which may be fuelling the increase in online searches.
In October 2024, HMRC handled 90.2% of all incoming calls. By January 2025, that figure had fallen to 82.3%, and it dropped further in February to 80.9%—the lowest rate recorded over the past six months.
At the same time, the number of calls going unanswered has grown sharply. In October 2024, 245,952 calls were missed, followed by 213,747 in December. January 2025 saw 599,057 unhandled calls, and February added a further 516,629.
The average time to answer a call also increased. In October, callers waited around 10 minutes and 40 seconds. By February, this had risen to 21 minutes and 4 seconds.
Advice for the self-employed
“April 2026 may seem like a while away yet, but it’s clear that the changes on the horizon as a result of Making Tax Digital are already at the forefront of many self-employed business owners,” said Bradley Post, managing director at RIFT. “Unfortunately, HMRC simply isn’t equipped to facilitate the surge in demand for its guidance and advice ahead of such a notable change and it’s clear that many are having to seek their own answers via the internet.”
Post added, “For those in fear of being penalised through no fault of their own, alternative help is available. Working closely with an accountant or tax specialist ahead of the April 2026 deadline can make the transition smoother and help avoid penalties and we strongly advise that you do just this if you’re failing to get the answers you need from HMRC themselves.”
