Making Tax Digital for Income Tax (sole traders): less than three weeks to go
16/03/2026
Making Tax Digital (MTD) for Income Tax goes live on 6 April 2026. With less than three weeks remaining until sole traders and landlords with a turnover of over £50K will need to start using it, HMRC is encouraging individuals to take action now.
HMRC has prepared new guidance about the new process, how it applies to you, choosing compatible software and how to sign up, available at HMRC Making Tax Digital for Income Tax.
What’s changing?
From 6 April 2026, sole traders and landlords with turnover above £50,000 (based on 2024-2025 tax year) will need to start using Making Tax Digital for Income Tax.
Individuals will need to keep digital records of their self-employment and property income and expenses, use software compatible with MTD to send quarterly updates to HMRC and to submit their Tax Return.
MTD will then be rolled out to these individuals with turnover above £30,000 from April 2027 and £20,000 from April 2028.
What to do now:
- Check if you’re affected – Look at your 2024-2025 tax return to work out your qualifying income from self-employment and property.
- Find out your start date – to see when you need to start using MTD, use our tool to check if you need to use the service and when you need to start.
- Sign up to the service – If you’re required to use Making Tax Digital for Income Tax from 6 April 2026, you should sign up now.
- Choose your software – Find compatible software that works with Making Tax Digital (including free options for simple affairs). Research and select your preferred software that meets your individual needs.
- Start keeping digital records – Begin using your chosen software to digitally record your income and expenses relating to your business.
- Speak to your agent – If you have an accountant or tax agent, make sure they’re prepared and can access compatible software.
Check out Making Tax Digital for Income Tax for sole traders and landlords for a more detailed step by step on how to get ready.
Where to find more information:
Check MTD for Income Tax dates you need to know for a clear timeline of start dates, quarterly update deadlines, and self-assessment tax return deadlines.
Check the new late submission and late payment penalties for information on the new penalties under Making Tax Digital for Income Tax.
For further information and support, visit Help and Support for Making Tax Digital including webinars, videos, and support content for taxpayers, businesses and agents.