Making Tax Digital for landlords
If your income is over the threshold, you must keep digital records, send HMRC a short update every quarter, and file a final declaration after the tax year, all through compatible software.
Who has to use it
It's based on your qualifying income: gross property and self-employment income combined, before expenses.
| From | Qualifying income over |
|---|---|
| 6 April 2026 | £50,000 |
| 6 April 2027 | £30,000 |
| 6 April 2028 | £20,000 |
It's gross income, not profit. Collecting £2,600 a month in rent takes you past £30,000 a year, even if your profit is small.
What you'll need to do
- Keep digital records of income and expenses, per property.
- Send quarterly updates to HMRC.
- Submit a final declaration after the tax year, replacing the old Self Assessment return.
How to get ready now
- Work out your qualifying income from your last tax return.
- Record expenses as you go, not from a shoebox of receipts in January.
- Use a separate bank account for your rentals.
- Choose MTD-compatible software, or check with your accountant.
How Landlord Friendly will help
- Income and expenses recorded per property
- Quarterly totals ready for MTD
- Easy export for your accountant
Frequently asked questions
Does Making Tax Digital apply to landlords?
Yes, for landlords whose qualifying income from property and self-employment combined is over the threshold.
What are the MTD thresholds?
Over £50,000 from April 2026, over £30,000 from April 2027 and over £20,000 from April 2028, based on gross income, not profit.
What do I have to send HMRC?
Quarterly summaries of income and expenses, then a final declaration after the tax year ends.
What about jointly owned property?
Each owner counts only their own share of the income towards the threshold.
Related: Landlord compliance checklist · Accidental landlords
Official sources
Last reviewed 25 October 2026. This guide is general information for landlords in the UK, not legal, tax or insurance advice. Rules change, so check the official sources before acting.