Making Tax Digital for Income Tax changes how sole traders and landlords report to HMRC. Instead of one return a year, you keep digital records and send updates during the year.
Who has to join, and when
It depends on your qualifying income, which is your gross income from self-employment and property, before expenses. It is not your total income from all sources.
- 6 April 2026: qualifying income over £50,000 in the 2024/25 tax year.
- 6 April 2027: qualifying income over £30,000 in the 2025/26 tax year.
- 6 April 2028: qualifying income over £20,000 in the 2026/27 tax year.
If you are already in scope, HMRC will have written to you. You can also sign up voluntarily.
What you have to do
- Keep your business and property records digitally, using compatible software.
- Send a quarterly update to HMRC. The usual deadlines are 7 August, 7 November, 7 February and 7 May.
- Make a final declaration for the year, by 31 January after the tax year ends.
Tax payment dates stay the same as they are now.
How to get ready
Check your income against the thresholds, choose software, and get your records into the right shape before your start date. If you would rather not do it yourself, we can set it up and send the updates for you.
This guide is general information, not personal advice. Rules and rates can change, so check GOV.UK or ask us about your own situation.
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