The introduction of Making Tax Digital for Income Tax is a major change for many sole traders and landlords. It starts in April 2026, which is very close (!), with the phased introduction through to April 2028.

Complying with Making Tax Digital (MTD) requires the use of digital record-keeping and the submission of quarterly updates to HMRC.

Four key deadlines for MTD for Income Tax are:

1. Start Point

6 April 2026 is the mandatory start date for self-employed individuals and landlords with qualifying income over £50,000. Later start dates will apply to people with lower levels of qualifying income (see below).

Anyone showing gross qualifying income above £50,000  for the tax year ending 5 April 2025 will be contacted by HMRC to confirm they must comply from April 2026. This decision will be informed by information in your 2024/25 tax return.

If you prefer to submit calendar rather than tax year quarters (below), you need to join from the relevant 1 April rather than 6 April.

2. Quarterly Updates

These are the fixed deadlines for quarterly MTD:

• 7 August — for the period 6 April to 5 July
• 7 November — for the period 6 July to 5 October
• 7 February — for the period 6 October to 5 January
• 7 May — for the period 6 January to 5 April

The start date is determined separately for each income source (each separate trade, UK property income and overseas property income).

3. Final Declaration & Payment

31 January (after joining MTD) is the deadline for submitting your final declaration (which replaces the traditional Self Assessment return). This is also when any remaining tax and Class 4 National Insurance contributions must be paid.

For example, for the tax year 2025/26, the final declaration and any tax due would be due by 31 January 2027.

4. Further Phases

MTD for Income Tax rolls out to affect the following people with qualifying self employed income:

• April 2027 – qualifying income threshold over £30,000
• April 2028 – qualifying income threshold over £20,000

Does your sole trader income exceed the MTD for Income Tax threshold?

Are you a property landlord with qualifying income?

Talk to the friendly experts at Spicer & Co. We’ll guide you through the requirements and help ensure you meet the above deadlines.