A growing shift in responsibility
There is a growing trend in the UK that is becoming harder to overlook. Many recent digital transformation efforts and modernisation initiatives appear to follow a similar pattern, tasks that were once handled by institutions are increasingly being carried out by the public themselves. Making Tax Digital is a clear example of this broader shift.
From the Government’s perspective, the changes are presented as improvements. The focus is on efficiency, accuracy, and access to more up to date information. In practice, however, these changes often mean more administrative responsibility for individuals, more deadlines to manage, more detailed record keeping, and greater reliance on software. While systems may become more streamlined internally, the day to day workload for users can increase.
This is not unique to tax. Similar patterns can be seen across other services, such as Universal Credit journals, GP online triage systems, council service portals, and the wider move toward self service in banking. In each case, digital tools offer convenience and speed, but they also shift more responsibility onto the user. With tax, however, the consequences of errors or delays can be more significant, which raises the stakes.
What Making Tax Digital requires
Under Making Tax Digital, sole traders and landlords are required to submit quarterly updates instead of a single annual return, resulting in five submissions per year. This also involves maintaining digital records and using compatible software. While this approach may provide HMRC with more timely and consistent data, it also requires individuals to stay more actively engaged with their finances throughout the year.
The role and limits of accountants
Another important aspect is the role of accountants. Many people assume that hiring an accountant transfers responsibility, but in legal terms, that is not the case. The taxpayer remains ultimately accountable for the accuracy and timeliness of their submissions. An accountant can provide expertise and handle much of the process, but any errors or penalties still fall to the individual.
This creates a situation where professional support is valuable, but does not remove personal liability. Taxpayers may find themselves balancing both cost and responsibility. Even when outsourcing the work, they still need to stay informed and ensure everything is correct. It can feel like a shared responsibility in practice, but a personal one in terms of accountability.
A wider structural shift
At its core, this reflects a broader structural shift. Institutions benefit from more efficient systems and reduced manual processing, while individuals take on a more active role in managing their own data and compliance. For some, this increased involvement can be empowering. For others, it can feel like an added burden, particularly when combined with the potential for penalties.
The discussion around Making Tax Digital is therefore not simply about technology. It is about how responsibilities are distributed between institutions and the public. Digital systems can offer clear advantages, but they also change expectations around who does the work and who carries the risk.
Why reactions are mixed
This helps explain why reactions are mixed. For some, it is a welcome step toward modernisation. For others, it raises concerns about increased administrative pressure and accountability. Understanding both sides of this shift is key to having a more balanced conversation about what digital transformation should look like in practice.