Making Tax Digital for Rental and Property Income

For Making Tax Digital, a landlord is anyone receiving UK property income — including buy-to-let owners, accidental landlords, furnished holiday let operators, and residential or commercial property investors. Joint landlords assess MTD against their own share of the gross rental income.

• Over £50,000 — mandated from 6 April 2026.
• £30,000–£50,000 — mandated from 6 April 2027.
• £20,000–£30,000 — mandated from 6 April 2028.
• Under £20,000 — not currently in scope, though HMRC may extend the regime later.

The threshold uses gross income (rent received before expenses), not net profit. Self-employment income and rental income are added together to test the threshold.

Full thresholds guide →

1. Keep digital records of all rental income and allowable expenses in MTD-compatible software or bridging tools.
2. Submit a quarterly update to HMRC summarising property income and expenses.
3. Submit a final declaration after the tax year to confirm and finalise figures (this replaces the property pages of the old Self Assessment return).

How quarterly updates work →

Landlord-friendly MTD software includes Hammock, Landlord Studio, Coconut, FreeAgent, and bridging tools for spreadsheet users. Choose software that handles multi-property portfolios, allowable expense categories specific to property, and joint ownership splits if relevant.

Compare landlord MTD software →