Free guide

Making Tax Digital checker for landlords

Making Tax Digital uses your income before expenses, not your profit. Enter your rent and any self-employment income to see when you'll have to join.

Rates checked 3 November 2026 Checked by Daniil Shumko, editor

£
Only your share if you own jointly. £2,500 a month is exactly £30,000 a year.
£
Salary from a job (PAYE) doesn't count.

Your qualifying income

£36,000

From 6 April 2027, if your 2025-26 tax return shows this amount.

Qualifying incomeMust join fromBased on the tax return for
Over £50,000 6 April 2026 2024-25
Over £30,000 6 April 2027 2025-26
Over £20,000 6 April 2028 2026-27

HMRC looks at each year's return in turn, so your start date depends on the income in the year it names. Once in, you keep digital records and send four quarterly updates (due 7 August, 7 November, 7 February and 7 May) plus a final declaration.

The trap: it's rent, not profit

Most landlords think of their rental profit. Making Tax Digital ignores it. A landlord collecting £2,500 a month has £30,000 of qualifying income, exactly on the line, and "over £30,000" means one pound more is enough. A rent rise of £1 a month would bring them in from the stage that uses that year's return.

What changes once you're in

  • Keep your records digitally, in software that works with HMRC.
  • Send four quarterly updates, due 7 August, 7 November, 7 February and 7 May.
  • Send a final declaration by 31 January after the tax year ends.

Common questions

Do landlords have to use Making Tax Digital?

Yes, once their qualifying income is high enough. It's been mandatory since April 2026 for sole traders and landlords with qualifying income over £50,000. It extends to over £30,000 from April 2027 and over £20,000 from April 2028.

Is the £30,000 threshold profit or rent?

Rent. HMRC uses income before expenses, also called turnover, from self-employment and property combined. A landlord with £36,000 of rent and £20,000 of costs still has £36,000 of qualifying income.

Which tax return decides if I join in April 2027?

The 2025-26 return, which you must file online by 31 January 2027. If it shows qualifying income over £30,000, you join from 6 April 2027.

What about jointly owned property?

Only your share counts. HMRC's example: a property owned jointly with a sibling that earns £50,000 gives you qualifying income of £25,000.

Are there penalties for late quarterly updates?

HMRC won't apply penalty points for late quarterly updates in the 2026-27 tax year. After that, points build up, and reaching four points means a £200 penalty.

Sources

  1. HMRC: Work out your qualifying income for Making Tax Digital for Income Tax
  2. HMRC: Send quarterly updates
  3. HMRC news: deadline approaches for first Making Tax Digital quarterly update
  4. GOV.UK: Self Assessment deadlines

This calculator gives a general figure, not tax, legal or financial advice. Where the government publishes worked examples, we test it against them. Found a problem? Tell us.