Settings and activity
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250 votes
Hi everyone, we've got a bit of an update we'd like to share with you all here.
Some of you may have already seen, following the closure of CATO, we’re launching a new simple accounts production & tax solution for small businesses. This'll be available as a paid annual add-on from August 2026.
With this solution you’ll be able to file your micro company accounts and corporation tax returns directly to HMRC from inside Xero, using data from your organisation in one simple flow.
The feature doesn’t replace the more powerful, flexible tools you use with your accountant or bookkeeper. If your advisor files on your behalf, nothing changes.
This solution is for small business owners handling their own corporation tax, this means less time wrestling with separate tools and a simpler, more streamlined way to stay compliant.
If your tax needs get more complicated or you need more support,…
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SEAN TIGHE
commented
It has taken me a few hours to find out that if I do not engage a Xero "partner", I cannot report directly to HMRC for MDT, as I will be required to do from April 2026, particularly as I am not VAT registered, and have no need to be. I understand that Xero is promoting the business of their "partners", but that is no good to me. I do not need to pay for accountancy services. If Xero will not change their policy on this then I will find another platform that will meet my requirements. It is bad enough that HMRC require me to pay for the software for MDT, let alone that that platform then try and make me pay for accountancy/book keeping!
SEAN TIGHE
supported this idea
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Bye Bye Xero!