If you have not yet checked whether Making Tax Digital (MTD) for Income Tax applies to you, now is the time to do so. HMRC has reminded taxpayers that the way many self employed people and landlords report their tax will change from 6 April 2026.
MTD for Income Tax moves away from the traditional annual self assessment tax return. Instead, you will need to keep digital records and submit updates during the year using approved software. HMRC is introducing the system in phases over the next few years.

More than 860,000 sole traders and landlords with income over £50,000 will need to follow the new rules from April 2026. You will need to keep digital records and send quarterly summaries of your income and expenses.
These updates do not replace your tax return. You will still need to submit a final declaration by 31 January following the end of the tax year. This means the first MTD tax return for the 2026 to 2027 tax year will be due by 31 January 2028.
HMRC’s Director of Making Tax Digital, said:
‘With two months to go until MTD for Income Tax launches, now is the time to act. A range of software is available, and the system is straightforward and helps reduce errors. Thousands of volunteers have already used it successfully.
This will make it easier for sole traders and landlords to stay on top of their tax affairs and help ensure everyone pays the right amount of tax.
Spreading your tax admin throughout the year means avoiding that last minute scramble to complete a tax return every January. Go to GOV.UK and start preparing today.’
Taxpayers joining MTD for Income Tax in April 2026 will not receive penalty points for late quarterly updates for the first 12 months, giving time to adjust. There are also exemptions available for those who genuinely cannot use digital tools.
MTD for Income Tax may sound like a big change, but with the right preparation it should feel like a natural step forward. Taking a little time now to understand what is required can make the transition much smoother when the rules come in.” – Jo Adams
We would be happy to help if you need assistance getting started with MTD for Income Tax. Click HERE to contact us.