MTD for Income Tax
When does Making Tax Digital apply to landlords?
MTD for Income Tax (MTD ITSA) is expected to apply from April 2026 for UK landlords with qualifying income over £50,000. Phased expansion to £30,000 and £20,000 thresholds follows. Here's the current HMRC timeline, in plain English.
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The short answer
From 6 April 2026, Making Tax Digital for Income Tax Self Assessment (MTD ITSA) is expected to apply to UK landlords and self-employed individuals with qualifying income over £50,000 in the 2024/25 tax year.
The threshold drops to £30,000 from April 2027, and a further expansion to £20,000is expected from April 2028. Once you’re in scope, you must keep digital records of rental income and allowable expenses, and submit four quarterly summaries plus a final declaration through MTD-compatible software.
The exact dates and bands are on GOV.UK and worth checking before you make decisions. The direction of travel is clear: digital quarterly reporting is becoming the default for UK landlords.
The phases
Three phases, three thresholds
April 2026
£50,000+
Self-employed individuals + landlords with qualifying income over £50k in 2024/25
April 2027
£30,000+
Same population, with the threshold dropping to £30k qualifying income
April 2028 (expected)
£20,000+
Further expansion announced; specific scope is still being consulted on
The rule
What counts as “qualifying income”
Qualifying income is broadly gross rental income plus self-employment income, before expenses. A landlord with £55,000 in rent and £8,000 in repairs has qualifying income of £55,000 — not £47,000.
If you own properties jointly, only your share of rental income counts toward your qualifying income. Couples splitting a £90,000-rent property 50/50 each have qualifying income of £45,000 from that property — under the April 2026 threshold, into scope when the threshold drops.
Mixed-income people combine both sides. A part-time consultant with £35,000 of consultancy income and £25,000 of rental income has qualifying income of £60,000 — in scope from April 2026.
What to do now
The cheapest insurance: clean records, now
If you’re definitely in scope from April 2026, the next nine months are the window to get records right. Building them clean from the start of the 2026/27 tax year is much easier than retrofitting after the first quarterly deadline.
If you’re under the threshold today, the trajectory is clear: £50k → £30k → £20k. Most landlords with 4+ properties in growth areas will be in scope by 2028. The work to build digital records now is the same work you’d have to do later under deadline pressure.
Start by checking where your records actually stand against what MTD expects. We built a 10-minute checklist for exactly that:
The MTD-Ready Records Checklist
19 items in four areas. 10 minutes to run through. Free.
Common questions
Questions, answered
Has the April 2026 MTD start date been confirmed?+
I’m a small landlord — does this apply to me?+
Is jointly-owned property income split before the threshold check?+
What about furnished holiday lets and commercial property?+
What happens if I miss a quarterly submission?+
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Want a 25-minute walk-through of the record-keeping side?