Brookwood Accountancy
Making Tax Digital for landlords
A practical plan for your property records, quarterly updates and annual tax return.
Your properties. A new reporting routine.
Making Tax Digital for Income Tax changes how affected landlords keep records and report to HMRC. It does not introduce a new tax, but it does require compatible software and a regular reporting process.
Brookwood can help you understand when you need to join, review your current records and agree who handles each part of the process.
Looking for support as a sole trader as well? →Your start date
Look at gross income, not profit
Your qualifying income generally combines rental receipts and self-employment income before expenses. Letting-agent fees and other costs do not reduce the gross figure used to check the threshold.
| Gross qualifying income | Tax return used | Start date |
|---|---|---|
| Over £50,000 | 2024–25 | 6 April 2026 — already started |
| Over £30,000 | 2025–26 | 6 April 2027 |
| Over £20,000 | 2026–27 | 6 April 2028 |
Property held in a limited company falls under Corporation Tax rather than these Income Tax rules. Personal rental or self-employment income needs its own assessment. Exemptions and individual circumstances can affect your position.
Check HMRC’s eligibility guidance ↗Keep the records useful, not just digital
Record the date, amount and relevant category for income and expenses. You or your agent can create the records. Keep invoices, statements and other supporting evidence alongside your digital system.
- A reliable routine: record transactions promptly. Digital records must be ready before you submit the relevant quarterly update, or its deadline if earlier submission does not occur—not necessarily at the moment money changes hands.
- Spreadsheets remain an option: use suitable compatible or bridging software and the required digital links to send information to HMRC.
- Property expenses: record rent and costs such as repairs or agent fees appropriately. Keep residential mortgage interest and other restricted finance costs identifiable so the right treatment can be applied.
- Keep records: retain digital records for at least five years after the relevant 31 January filing deadline.
Jointly let properties and simpler categorisation can have specific rules. Ask us how those apply to your records rather than assuming every property needs a separate submission.
Read HMRC’s digital-record guidance ↗Reporting through the year
Quarterly updates, then your annual return
Updates summarise income and expenses cumulatively from the start of the tax year. They are not four separate final tax returns. Calendar update periods are also available, with the same deadlines.
| Records covered | Submit by |
|---|---|
| 6 April–5 July 2026 | 7 August 2026 |
| 6 April–5 October 2026 | 7 November 2026 |
| 6 April 2026–5 January 2027 | 7 February 2027 |
| 6 April 2026–5 April 2027 | 7 May 2027 |
| Annual tax return for 2026–27 | 31 January 2028 |
Your annual tax return still brings together other taxable income, adjustments and reliefs. MTD does not remove that year-end step.
Check HMRC’s quarterly-update guidance ↗Get a workable plan for your rental business
Whether you keep your own records, use a letting agent or need ongoing support, we can discuss your software, responsibilities and reporting timetable.
Prefer an advice session? Ask about Brookwood’s MTD workshops →
Guidance reviewed 15 October 2026. Confirm your eligibility and any exemptions with Brookwood before relying on a start date.