What records does MTD require?

Under MTD, you must keep digital records of all rental income received, all allowable expenses paid, details of any assets and liabilities related to your rental business, and mileage logs for property-related travel. Records must be kept digitally. A spreadsheet counts as a digital record, but it cannot file on its own, so you either need MTD-compatible software like August or bridging software connected to the spreadsheet by digital links. Paper records and the HMRC website do not meet the requirement. August records all of this automatically as you go. Log expenses from your phone, attach receipt photos, connect your bank for automatic transaction imports, and your digital records stay complete for every quarterly update to HMRC.