MAKING TAX DIGITAL FOR INCOME TAX – GO LIVE!

Written by Matthew Ryan, Director at McEwan Wallace

Making Tax Digital (MTD) for income tax is now live! This is the new 2026/27 tax year regime for self-employed individuals and landlords if they have business and/or property income (i.e. total takings, not net profits) of more than £50,000 per annum. MTD requires digital record-keeping and quarterly updates to HMRC, with the first such update due by 7 August 2026.

The final MTD Regulations were laid before Parliament on 24 March 2026.

If you are one of the 860,000 individuals moving into the new regime, HMRC are also keen to stress that a normal annual tax return will still be required for the 2025/26 tax year. This means that in addition to providing HMRC with quarterly updates during the year to 5 April 2027, your annual 2025/26 tax return will still need to be filed by 31 January 2027.

We have been assisting our clients with the move to MTD. Please do reach out if we are not already planning your transition into this new digital regime.