Home » Blog » Multi-Agent Access for Making Tax Digital for Income Tax

Multi-Agent Access for Making Tax Digital for Income Tax

The introduction of multi-agent access for Making Tax Digital has been a long time coming for many. With the rollout of MTD IT fast approaching, this additional functionality is widely considered essential for business owners, accountants and book keepers to work together effectively.

Simply put, multi-agent access will allow tax payers to appoint a main agent (for example an accountant) and one or more supporting agents (such as a book keeper or financial controller) to manage Making Tax Digital for Income Tax (MTD IT) on their behalf.

As HMRC release further guidance for sole traders and landlords on the roles of ‘main and supporting agents’, we will explain the main differences below;

Main Agents

Main agents (usually an accountant) can do everything that a supporting agent can and almost everything the client can.

The only things that a main agent cannot do are 1) set up a direct debit, and 2) change how a client wants to be contacted by HMRC.  

Main agents can fully manage a client’s MTD IT.

Supporting Agents

Supporting agents have less access to MTD IT services than clients and main agents.

They can only see a client’s business and property incomes details and they can do fewer tasks than main agents.

For example, supporting agents cannot finalise a client’s overall tax position, submit their tax return, view a client’s tax calculation or view all sources of a client’s income for Self Assessment.

Appointing Multiple Agents

To get authorised as an agent, you must create an agent services account (if you don’t already have one) and then use your account to ask a client to authorise you. The client will receive different consent statements, depending on whether you apply to be a main agent or supporting agent.

It is not mandatory for a client to nominate a main agent or supporting agents. However, the client can choose several supporting agents, but only one main agent. If the client adds a new main agent, the previous main agent would lose access.

HMRC has also confirmed that if there is no need for a supporting agent, those currently authorised as agents for self assessment will automatically become the main agent when the client is signed up for MTD.

At PW John and Co Accountants we have been preparing for some time to help clients navigate the MTD IT requirements. We can lead you through the process of where best to use (or not use) supporting agents to optimise your MTD process.  Get in touch today for more information.