Digital exclusion definition and application process
5 min read
Digital exclusion is a specific, narrow exemption for people who genuinely cannot use computers, tablets, or smartphones for tax reporting. It mirrors the test used for MTD for VAT. HMRC does not grant this exemption automatically — you must apply and receive a written decision before treating yourself as exempt.
Having an accountant who files digitally does not qualify you. HMRC's policy is that compliance can be met through a representative. Similarly, dislike of software, low transaction volume, or cost concerns are not valid grounds.
Acceptable Grounds
- Age, health condition or disability preventing use of a computer, tablet, or smartphone.
- Location (e.g., no broadband available in your area).
- Genuine religious objection to electronic communications.
Not Acceptable
- Unfamiliarity with accounting software.
- Having a small number of transactions.
- The cost of software.
- Having an agent who can file digitally for you.
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