April 2026 Countdown: Are You Ready for Making Tax Digital?

Making Tax Digital for Income Tax (MTD for ITSA) is HMRC’s initiative to modernise the self-assessment tax system, with the aim of moving away from paper forms and toward a fully digital, more efficient process (in theory). If you're a landlord or self-employed individual, it’s important to understand what’s changing and how it will affect you.

Starting from 6 April 2026, MTD for ITSA will apply to self-employed individuals and landlords with total annual income from these sources (before deducting expenses) of £50,000. Those earning over £30,000 will be brought in from April 2027, and over £20,000 from April 2028.

Partnership income is not currently included in the MTD for ITSA regime, but is planned to follow at a later date.

What Will MTD for ITSA Mean for Me?

If you’re affected, you’ll need to:

• Use MTD-compliant software - we recommend Xero, but other options include Sage, QuickBooks and Free Agent

• Keep digital records of income and expenses, or ask a bookkeeper to help you

• Submit quarterly updates to HMRC, plus a final year-end submission

How We Can Help

We are already helping clients get ready for MTD for ITSA by helping them choose and set up software that is right for them.

If you’re unsure whether MTD for ITSA will affect you (or want to get ahead of the game) we’re here to guide you every step of the way.

Get in touch for a free consultation and let us help you get ready for MTD for ITSA before the deadline hits.

Disclaimer: This article is for general information purposes only and reflects the law and guidance at the time of writing. It does not constitute professional advice. Please consult a qualified advisor before making financial or tax-related decisions.