MTD for Income Tax requires sole traders and landlords to keep digital records and send HMRC a quarterly summary through compatible software, replacing the single annual return cycle. It became mandatory in April 2026 for those with combined self-employment and property turnover over £50,000, with the threshold falling to £30,000 in 2027 and £20,000 in 2028.
Quarterly updates are due 7 August, 7 November, 7 February and 7 May, backed by a points-based penalty system. Check whether and when you are caught with the MTD Scope Checker, and read the full MTD guide.
A joiner who turned over £58,000 in 2024/25 has been in MTD since 6 April 2026: digital records in software, then cumulative summaries due 7 August, 7 November, 7 February and 7 May, plus a final declaration that replaces the old return. The quarterly updates are summaries, not tax bills; tax is still settled once a year, so the main change is record-keeping discipline, not payment timing.
