Making Tax Digital for Income Tax has officially started from 6 April 2026 for self-employed individuals and landlords with qualifying income over £50,000. HMRC’s qualifying income test is based on gross income from self-employment and property, not net profit.
Under the new rules, affected taxpayers must keep digital records and send quarterly updates to HMRC using compatible software. For the 2026/27 tax year, the first quarterly update is due by 7 August 2026.
HMRC has said that around 864,000 sole traders and landlords are expected to come into the regime from April 2026.
It is also important to remember that a normal self assessment tax return is still required for the 2025/26 tax year, with the filing deadline remaining 31 January 2027. The first MTD-based tax return, covering 2026/27, will then be due by 31 January 2028.
The final regulations underpinning the new regime were made in March 2026, with the relevant legislation now in force.
At A&C Chartered Accountants, we have been helping clients prepare for the move to MTD for Income Tax and put the right software and processes in place. If we are not already supporting your transition, please get in touch and we will help you get ready for this new digital regime.