Can I keep using a spreadsheet?
Yes. HMRC accepts digital records kept in a spreadsheet, as long as the spreadsheet is digitally linked to software that can send your quarterly updates and tax return. That software is usually called bridging software.
What bridging software does
Bridging software sits between your spreadsheet and HMRC. It reads the figures from your workbook (usually the category totals) and sends them to HMRC securely. You keep recording in the spreadsheet you're used to.
Your digital records: date, amount, category.
Reads the totals. That's the digital link.
Receives your update and confirms it.
What "digital link" means
If you use more than one product, the data has to move between them digitally. HMRC gives examples of digital links, including:
- linked cells in spreadsheets,
- emailing a spreadsheet that contains digital records,
- transferring records on a portable device,
- importing and exporting XML or CSV files,
- an automated data transfer, or an API.
The point is that figures move between products digitally rather than being retyped.
How to choose software
Start with HMRC's own software finder. You answer a few questions and it gives you a list of products that suit you, including bridging software that works with spreadsheets. Free products are available for simple tax affairs, though they may have limits. Questions worth asking:
- Does it support the income you have: self-employment, UK property, foreign property?
- Does it handle the whole year, including your tax return, or only quarterly updates?
- How does it read your spreadsheet: by picking cells once, or by importing a tab?
- What does it cost each year, and is there a free tier?
- Does your accountant use it, if you have one?
Setting it up
- Sign up for MTD on GOV.UK using your Self Assessment sign-in details (unless HMRC has signed you up). You may be asked to prove your identity with a passport or driving licence in a mobile app.
- Connect your software to your HMRC account. It will ask you to sign in and give permission.
- Point it at your figures. With our MTD-Ready Spreadsheet Kit, that's the "Send in update" columns on the Quarterly summary tab.
- Before each deadline, check your totals, send the update and keep the confirmation.
Once your software is linked to particular cells, don't move rows or columns around. Add new transactions as new rows instead.
This guide explains HMRC's published rules without the jargon. It's information, not tax advice, and it was accurate when we checked it on 19 October 2026. For your own situation, check your HMRC online account or speak to an accountant.