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Accounts & Expenses

Keeping on top of your accounts is a key part of running a small business.

In this section you’ll find practical guides on recording expenses, tracking your income and expenditure, choosing accounting software, and keeping proper records for Self Assessment.

We also explain how accounting rules are changing under Making Tax Digital (MTD). From April 2026 many sole traders will need to keep digital records and submit updates to HMRC using compatible software. You can learn more in our guide to Making Tax Digital for the self-employed.

Whether you manage your bookkeeping yourself or hire an accountant, understanding how small business accounts work will save you time, money and stress.

Accounting software and accountants

  • Find the best self-employed accounting software
  • Why accounting software is essential for MTD filing
  • Accounting software vs spreadsheets
  • Do you need an accountant if you’re self-employed?
  • Compare sole trader accountants
  • How to switch accountants as a sole trader

Bookkeeping and records

  • Bookkeeping basics for small businesses
  • Accounting deadlines every self-employed person should know
  • A beginner’s guide to self-employed accounts
  • What counts as turnover?

Claiming business expenses

  • What expenses can you claim as a sole trader?
  • How simplified expenses work
  • Claiming home office expenses
  • Mileage allowance explained
  • Travel expenses for sole traders
  • Training expenses explained
  • Equipment and tool expenses

Invoices and payments

  • Free invoice templates for sole traders
  • Setting payment terms for clients
  • What to do if a client doesn’t pay
  • Using a debt recovery service
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ANNA Money offers free MTD Income Tax filings ahead of deadline

January 22, 2026
ByteStart partner ANNA Money has announced it will offer free MTD ITSA filings on a permanent basis, with no subscription fees or time limits.
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anna money

ANNA Money review: free business account with MTD filing tools

January 22, 2026
ANNA Money is an app-based business account for small companies and sole traders, offering a debit card and built-in Making Tax Digital (MTD) tools.
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Card readers and in-person payments for sole traders

January 17, 2026
A practical guide to card readers for sole traders, including how they work, what they cost, and when in-person card payments are useful.
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Using Xero for Making Tax Digital (MTD for Income Tax) as a sole trader

January 9, 2026
A practical guide to using Xero for Making Tax Digital for Income Tax. See how it works under MTD and whether it suits sole traders.
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MTD accounting software

Why accounting software is essential for Making Tax Digital (MTD)

January 9, 2026
Making Tax Digital (for Income Tax) starts in April 2026. We explain why accounting software matters and can help you produce and submit digital records.
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From annual returns to quarterly updates: MTD for sole traders

January 5, 2026
MTD for Income Tax begins in April 2026. We explain how quarterly reporting affects sole traders, the £50,000 threshold, and how to prepare.
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Do you need an accountant if you’re self-employed (sole trader)?

January 5, 2026
Do you need an accountant when self-employed? Learn when to DIY, when to hire help, and how a good accountant can save you time, stress, and tax.
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What counts as proof of income when you are a sole trader

What counts as proof of income when you are a sole trader

October 22, 2025
How to prove your income if you're self-employed. Which documents to use, how to get your SA302 from HMRC, and how much history you need as a sole trader.
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How to claim parking, tolls and congestion charges as travel expenses

October 13, 2025
Learn when sole traders can claim parking, tolls and congestion charges as business travel expenses, and what HMRC won’t allow.
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Can you claim gym memberships and wellbeing costs as a sole trader?

September 22, 2025
Find out if you can claim gym memberships, yoga or other wellbeing costs. HMRC’s rules on what’s tax deductible - and what is just a personal expense.
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bright ideas sole trader accountant



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