Making Tax Digital for Income Tax
Am I in Making Tax Digital?
The first quarterly update deadline — 7 August 2026 — has passed; the next falls on 7 November 2026. Answer two questions and find out whether MTD applies to you, when you start, and exactly what you have to send.
HMRC adds these together — that total is your qualifying income. Nothing is sent anywhere; this runs entirely in your browser.
How the thresholds work
| Qualifying income (2024/25) | You join MTD from |
|---|---|
| Over £50,000 | 6 April 2026 |
| Over £30,000 | 6 April 2027 |
| Over £20,000 | 6 April 2028 |
| £20,000 or under | Not currently mandated |
Source: HMRC, Find out if and when you need to use Making Tax Digital for Income Tax. Thresholds and start dates checked against GOV.UK on 17 August 2026.
The four deadlines, every year
Quarterly updates are due 7 August, 7 November, 7 February and 7 May. They cover the quarters ending 5 July, 5 October, 5 January and 5 April. Your final declaration is due 31 January after the tax year ends — the Self Assessment date you already know.
See a live countdown to your next deadline and add all four to your calendar →
You will not be fined for a late quarterly update this year
HMRC guidance is explicit: there are no penalties for missing a quarterly update deadline for the 2026/27 tax year. A penalty point can only be earned for a late quarterly update from 2027/28 onwards. Plenty of people will try to sell you something using the threat of fines — for this year, that threat isn't real. The reason to get it right now is that your records have to be digital from 6 April 2026 either way, and catching up four quarters in January is genuinely miserable.
Source: HMRC, Penalties for Making Tax Digital for Income Tax. Checked against GOV.UK on 18 August 2026.
Already missed one? — what happens now, what it costs, and the shortest way to put it right.
Common questions
What counts as "qualifying income" for MTD?
Your total income from self-employment and property, added together, before you take off any expenses — turnover, not profit. Wages (PAYE), dividends (including from your own company), pensions and your share of a partnership's profit don't count. So a landlord with £30,000 of rent who also freelances for £25,000 has £55,000 of qualifying income and is in from April 2026 — even though their taxable profit is far lower.
I earn under £50,000 — do I still have to do MTD?
Not from April 2026. The £50,000 threshold (based on your 2024/25 income) is the first wave. Qualifying income over £30,000 joins from 6 April 2027, and over £20,000 from 6 April 2028. £20,000 or under is not currently mandated at all — but you must still send a normal Self Assessment tax return.
HMRC hasn't written to me — am I off the hook?
No. HMRC checks your Self Assessment return and writes to people it believes are over the threshold, but even if no letter arrives it is still your responsibility to check your own qualifying income and sign up in time. Don't wait for a letter to land.
Can I be exempt from MTD?
Possibly. You may qualify if you're "digitally excluded" — broadly, where it isn't reasonable for you to use software, for example because you can't get online, or because of age, disability or religious grounds. Some exemptions are automatic and some you have to apply for. If you're exempt you still report your income in a normal Self Assessment return. Check the GOV.UK exemption guidance.
Does MTD replace my Self Assessment tax return?
Once you're in MTD you keep digital records, send four quarterly updates, and finish the year with a final declaration due 31 January — that final declaration takes the place of the old Self Assessment return. You still file a normal Self Assessment return for the tax year before you start.
The part that actually takes the time
Knowing you're in MTD is the easy bit. The work is keeping digital records all year so each quarterly update is a five-minute job instead of a weekend. That's what we build.
- Self Assessment Tax Estimator 2026/27 — know what you owe before January, not after.
- Rental Property ROI & Yield Calculator — including Section 24 and a rate stress test.
- Freelance Day-Rate & Profit Calculator — works backwards from the take-home you want.
- Invoice Tracker & Log — auto paid/outstanding/overdue, with a chase list.
Excel and Google Sheets. Working formulas, not just formatting. Built and checked by us, with AI assistance, and every calculation verified.
Filing for clients rather than yourself? Four updates a year multiplied by a client list is a tracking problem, not a spreadsheet problem — who is signed up, whose records have not arrived, who has already missed one. The MTD Practice Tracker puts every client's deadlines on one board. £39 one-time.
See the toolkit — all four for £19 →Four working spreadsheets. £9 each, or all four for £19, with a 14-day money-back guarantee.