Making Tax Digital is here. Here is what landlords need to do next.

Most landlords have a system that works. Income in, expenses logged, tax return filed each January. It is not glamorous, but it gets the job done. 

That system has now changed. 

Making Tax Digital for Income Tax (MTD) came into effect in April 2026 for landlords earning above £50,000. If that is you, the old annual return is no longer enough. You are now required to keep digital records and submit quarterly updates to HMRC using approved software. And your first submission is due in July. 

If you have not set anything up yet, this is your guide to getting sorted. 

Does MTD apply to you?

MTD applies to anyone whose total income from property letting and self-employment combined exceeds the relevant threshold. Here is how the rollout works: 

• April 2026 (now): landlords with combined income above £50,000. 
• April 2027: landlords with combined income above £30,000. 
• April 2028: landlords with combined income above £20,000. HMRC has confirmed this threshold. 

That combined income figure catches a lot of landlords out. If you earn £25,000 from a rental property and £30,000 from self-employment or sole trader work, your combined qualifying income sits above £50,000 and MTD applies to you now. 

If you are below the current threshold, you have time before it becomes mandatory. But given HMRC has now confirmed the £20,000 threshold for 2028, it is worth understanding the system before you are required to use it. 

What MTD actually requires

The biggest misconception about MTD is that it means paying tax more often. It does not. 

What changes is the reporting. Instead of one annual return each January, you now need to: 

• Keep digital records of your rental income and expenses throughout the year. 
• Submit four quarterly updates to HMRC each tax year. 
• File a final end-of-year declaration to confirm your totals. 

Your tax bill and payment schedule stay exactly the same. The difference is how and when you report the numbers to HMRC. 

Your first submission is due in July

The first quarterly reporting period runs from April to June 2026, with the update due to HMRC in July. If you are in scope and have not yet chosen a compatible software, that deadline is closer than it might feel. 

You cannot submit through HMRC's own portal. You need approved third-party software, and there are two straightforward options for landlords. 

Two options for NRLA members

Option 1: Portfolio by NRLA. If you are already using Portfolio to manage your properties, you are ahead of most landlords. Portfolio includes MTD-ready digitised transactions, meaning your income and expenses are already being recorded in a format that feeds into quarterly submissions. Paired with Taxd for the actual HMRC filings, it gives you a complete picture in one place. 

Option 2: Keep your spreadsheet and use bridging software. If you prefer to keep managing your records in a spreadsheet, you do not need to change how you work. Bridging software connects your existing records to HMRC and handles the quarterly submissions on your behalf. Taxd's bridging software does exactly this, starting from £6 per month, and has been built specifically for landlords. 

Both routes are straightforward. The important thing is choosing one before July. 

You should not have to figure this out alone

Tax was never designed to be easy. HMRC's systems are built for compliance officers, not for landlords trying to manage properties alongside everything else in their lives. MTD is another layer of requirement on top of a system that was already complicated enough. 

Taxd was built to change that. As the NRLA's official tax partner, Taxd has already helped over 9,000 landlords file their property returns correctly, at a fraction of what an accountant would charge. The platform guides you through every step in plain English, and qualified tax experts are available by chat or call if anything is unclear. 

MTD does not have to be something you dread. With the right setup, it becomes something you barely think about. 

What getting it right looks like

Income and expenses logged cleanly as you go. Quarterly updates submitted on time without a scramble. No allowable costs missed. A clear picture of your rental finances throughout the year, not just once in January. 

That is what MTD looks like when it is working for you rather than against you. And for NRLA members, the tools to get there are already available.