Last reviewed: October 2026
Who needs to join
Making Tax Digital (MTD) for Income Tax applies to sole traders and landlords based on their qualifying income — gross self-employment and property income before expenses.
From 6 April 2026 it applies where qualifying income is over £50,000, from 6 April 2027 over £30,000, and from 6 April 2028 over £20,000. HMRC normally uses the income on the return filed for an earlier tax year.
What changes
You must keep digital records using HMRC-recognised software and send quarterly updates of income and expenses. After the tax year ends you submit a final declaration (replacing the usual tax return) by 31 January.
Quarterly update deadlines
Standard quarters end on 5 July, 5 October, 5 January and 5 April, with updates due by 7 August, 7 November, 7 February and 7 May respectively.
How to prepare
Check your qualifying income, move paper or spreadsheet records into compatible software, separate business and personal spending, and keep receipts digitally. Exemptions may apply in limited circumstances, such as digital exclusion — an application is required.
Official sources
This guide is general information only, not advice for your circumstances. Rates and rules change — check the official sources or speak to us before acting.