12/10/2026
𝐒𝐨𝐥𝐞 𝐭𝐫𝐚𝐝𝐞𝐫𝐬 𝐚𝐧𝐝 𝐥𝐚𝐧𝐝𝐥𝐨𝐫𝐝𝐬 𝐞𝐚𝐫𝐧𝐢𝐧𝐠 𝐦𝐨𝐫𝐞 𝐭𝐡𝐚𝐧 £𝟑𝟎,𝟎𝟎𝟎 𝐮𝐫𝐠𝐞𝐝 𝐭𝐨 𝐚𝐜𝐭 𝐧𝐨𝐰.
𝑆𝑜𝑙𝑒 𝑡𝑟𝑎𝑑𝑒𝑟𝑠 𝑎𝑛𝑑 𝑙𝑎𝑛𝑑𝑙𝑜𝑟𝑑𝑠 𝑒𝑎𝑟𝑛𝑖𝑛𝑔 𝑜𝑣𝑒𝑟 £30,000 𝑢𝑟𝑔𝑒𝑑 𝑡𝑜 𝑔𝑒𝑡 𝑟𝑒𝑎𝑑𝑦 𝑓𝑜𝑟 𝑀𝑎𝑘𝑖𝑛𝑔 𝑇𝑎𝑥 𝐷𝑖𝑔𝑖𝑡𝑎𝑙.
𝑀𝑎𝑘𝑖𝑛𝑔 𝑇𝑎𝑥 𝐷𝑖𝑔𝑖𝑡𝑎𝑙 𝑓𝑜𝑟 𝐼𝑛𝑐𝑜𝑚𝑒 𝑇𝑎𝑥 𝑤𝑖𝑙𝑙 𝑒𝑥𝑡𝑒𝑛𝑑 𝑡𝑜 𝑠𝑜𝑙𝑒 𝑡𝑟𝑎𝑑𝑒𝑟𝑠 𝑎𝑛𝑑 𝑙𝑎𝑛𝑑𝑙𝑜𝑟𝑑𝑠 𝑒𝑎𝑟𝑛𝑖𝑛𝑔 𝑚𝑜𝑟𝑒 𝑡ℎ𝑎𝑛 £30,000 𝑓𝑟𝑜𝑚 6 𝐴𝑝𝑟𝑖𝑙 2027.
𝐶𝑢𝑠𝑡𝑜𝑚𝑒𝑟𝑠 𝑤ℎ𝑜 𝑠𝑖𝑔𝑛 𝑢𝑝 𝑒𝑎𝑟𝑙𝑦 ℎ𝑎𝑣𝑒 𝑚𝑜𝑟𝑒 𝑡𝑖𝑚𝑒 𝑡𝑜 𝑐ℎ𝑜𝑜𝑠𝑒 𝑐𝑜𝑚𝑝𝑎𝑡𝑖𝑏𝑙𝑒 𝑠𝑜𝑓𝑡𝑤𝑎𝑟𝑒 𝑎𝑛𝑑 𝑝𝑟𝑒𝑝𝑎𝑟𝑒 𝑖𝑛 𝑡ℎ𝑒𝑖𝑟 𝑜𝑤𝑛 𝑡𝑖𝑚𝑒.
There are just six months to go until sole traders and landlords with a turnover of more than £30,000 will be required to use Making Tax Digital (MTD) for Income Tax.
HM Revenue and Customs (HMRC) is urging those customers to sign up on GOV.UK and start preparing now. They should check whether they meet the threshold, as turnover includes gross income from self-employment and property before any tax allowances or expenses are deducted.
From 6 April 2027, around 1,077,000 more sole traders and landlords will need to create digital records and use compatible software to send HMRC quarterly updates of their income and expenses and to complete their tax return, in addition to those already using the service.
The quarterly updates are not additional tax returns, but short summaries.
By creating digital records throughout the year, sole traders and landlords can save hours previously spent gathering information at tax return time, helping them spend more time focusing on their business and avoiding the last-minute rush every January.
Craig Ogilvie, HMRC’s Director of Making Tax Digital, said "Hundreds of thousands of sole traders and landlords are already successfully using Making Tax Digital and now it’s time for the next group to get ready. Signing up now means you can prepare and familiarise yourself with the process before it becomes mandatory next April."
This builds on the successful launch of MTD for Income Tax for sole traders and landlords earning more than £50,000, who have been using the service since April 2026. Their next milestone is the second quarterly update due on 7 November.
The threshold will decrease further to £20,000 from April 2028, bringing MTD for Income Tax to an even wider group of sole traders and landlords.
𝐹𝑢𝑟𝑡ℎ𝑒𝑟 𝐼𝑛𝑓𝑜𝑟𝑚𝑎𝑡𝑖𝑜𝑛
MTD for Income Tax became mandatory for sole traders and landlords earning more than £50,000 from 6 April 2026.
To sign up, customers must be registered for Self Assessment and have submitted a tax return in the last two years.
Quarterly updates need to be sent through HMRC-recognised software. A list of compatible software is available on GOV.UK.
There are certain exemptions from Making Tax Digital for Income Tax, including for those who are digitally excluded. Visit GOV.UK for details.
Customers can learn more about how Making Tax Digital for Income Tax works by watching HMRC’s customer journey video on YouTube.
The estimate that around 1,077,000 additional sole traders and landlords will be required to join Making Tax Digital for Income Tax from April 2027 is based on HMRC analysis of 2024 to 2025 Self Assessment returns.
