MTD for landlords: what changes and when
You don't have to think of yourself as "a business" to be caught by Making Tax Digital. If rent lands in your bank account, read this.
The rule for landlords
MTD for Income Tax applies to individual landlords based on gross rental income — the rent that comes in, before mortgage interest, agent fees, insurance or repairs. If you also have self-employment income, the two are added together for the threshold.
| Gross income (turnover) | MTD mandatory from | First quarterly update due | Checked against |
|---|---|---|---|
| £50,000+ | 6 April 2026 — already in force | 7 August 2026 | 2024/25 tax return |
| £30,000 – £50,000 | 6 April 2027 | 7 August 2027 | 2025/26 tax return |
| £20,000 – £30,000 | 6 April 2028 | 7 August 2028 | 2026/27 tax return |
| Under £20,000 | No start date announced yet | ||
This catches out landlords more than anyone: decent rent with big costs can mean a modest profit but a turnover well over the line. Two properties at £2,200 a month is £52,800 gross — in scope since April 2026 regardless of what the mortgage eats.
What you have to do
- Keep digital records of rent and expenses per property business.
- Send quarterly updates by 7 August, 7 November, 7 February and 7 May — see the quarterly deadlines.
- File a final declaration by 31 January, replacing the old tax return.
UK property counts as one property business; overseas property is a second one with its own updates. Jointly-owned property has easements — you can report your share with less expense detail each quarter.
What landlords should do now
- Work out your gross qualifying income (rent + any self-employment turnover, your share if joint).
- If you're over £50,000 — you're already in. Your next update deadline is on the deadlines page.
- If you're in the 2027 or 2028 wave — get your record-keeping digital this year, so the switch is boring rather than frantic.
- Pick software that matches your life. If you don't want a full accounting suite for a couple of properties, that's exactly the gap NippyTax is being built for.
Frequently asked questions
Does MTD apply to landlords?
Yes. Individual landlords are squarely inside MTD for Income Tax. If your gross rental income (plus any self-employment turnover) was over £50,000 on your 2024/25 return, you have been in since 6 April 2026. Over £30,000 joins April 2027; over £20,000, April 2028.
Is the threshold my rent before or after expenses?
Before. It is gross rent — mortgage interest, letting agent fees, repairs and every other cost come off afterwards. £52,000 of rent with £30,000 of costs is over the £50,000 threshold.
I own property jointly — how does the threshold work?
You count your share of the gross rent. Joint landlords also get easements: they can choose to submit less detail about expenses in quarterly updates. Your final declaration still needs the full picture.
Do furnished holiday lets and overseas property count?
Yes — UK property, overseas property and (since the FHL regime ended in April 2025) former holiday-let income all count towards qualifying income and get reported under MTD.
Does MTD apply to limited company landlords?
No. Property held in a limited company is outside MTD for Income Tax — that is Corporation Tax, and MTD for Corporation Tax has no confirmed start date. Personally-held property is what counts here.
Do I really need software for one rental property?
If your gross income is over the threshold, yes — updates must be sent through recognised software. But it does not need to be a full accounting suite. Simple MTD-only tools (which is exactly what NippyTax is being built to be) or spreadsheet bridging both satisfy the rules.
Get NippyTax when it launches
We are building the simplest possible way to do MTD quarterly updates — no accounting suite, no jargon. Join the waitlist and be first in when it launches.