Check what to do if HMRC has signed you up for Making Tax Digital for Income Tax

What Making Tax Digital for Income Tax is

Making Tax Digital for Income Tax is a new way for sole traders and landlords to report their income and expenses to HMRC.

From 6 April 2026, sole traders and landlords with qualifying income over £50,000 in the 2024 to 2025 tax year and who are not exempt need to use Making Tax Digital for Income Tax for the 2026 to 2027 tax year.

You need to use compatible software that works with Making Tax Digital for Income Tax to:

You’ll still need to pay your full tax bill by 31 January following the end of the tax year.

There are changes to penalties that apply to Making Tax Digital for Income Tax. You can find out more about this in ‘After HMRC has signed you up’.

If you need to use Making Tax Digital for Income Tax for the 2026 to 2027 tax year and have not signed up yet, we will sign you up. This is because our records show your qualifying income was over £50,000 in the 2024 to 2025 tax year.

This will happen in stages over the coming months. We’ll contact you after you’ve been signed up.

As you’ve not signed up yourself or through an agent, we’ve now signed you up on your behalf and contacted you to confirm this. You may receive this confirmation letter in your HMRC online services or by post depending on your circumstances.

You should now follow the steps for ‘After HMRC has signed you up’.

If you’ve not submitted your 2025 to 2026 tax return, you will still need to submit this by 31 January. If all your self-employment and property income sources have ceased, follow the guidance in step 2.