MTD for landlords: complete 2026/27 guide

April 2026 is the first year Making Tax Digital for Income Tax becomes mandatory, but only for landlords and sole traders with qualifying income over £50,000. If that’s you, here’s exactly what’s different about this first year.

Who’s in from April 2026

You’re in scope for 2026/27 if your total qualifying income from property and/or self-employment, as reported on your Self Assessment return for the 2024/25 tax year, was over £50,000. Use the free scope checker to check your own numbers.

If you’re under that threshold, nothing changes for you yet. See our full guide to who’s in and out of scope.

What’s different in year one

  1. You’ll get a notice from HMRC if their records show you’re likely in scope, but the responsibility to check and sign up is yours, not automatic.
  2. You need compatible software: this is exactly what Simple MTD is for. See how the quarterly update process works.
  3. Your first quarterly deadline falls one month after your first quarter ends. Get your exact dates from the deadline calculator.

The “soft landing”

HMRC has signalled a lighter touch on penalties during the first year, recognising that everyone (taxpayers, agents, and software providers) is adjusting to a new process. That’s not a reason to be careless, but it does mean an honest mistake in your first quarter isn’t the disaster it might feel like.

What to do now

  1. Check your scope with the free checker.
  2. Get your quarterly dates from the deadline calculator and put them somewhere you’ll see them.
  3. Read the full landlord guide for how digital record-keeping and category mapping work.

Common questions

Is 2026/27 really the first year for everyone?

No. Only landlords and sole traders with qualifying income over £50,000 are in scope from April 2026. Lower thresholds join in later years.

What happens if I make a mistake in my first year?

HMRC has said there's a 'soft landing' period with a lighter touch on penalties while everyone gets used to the new process, though you should still aim to file accurately and on time.