MTD for Income Tax:
Am I Affected?
According to HMRC's Making Tax Digital overview, MTD for Income Tax applies to self-employed business owners and landlords with qualifying income above the relevant threshold.
A 30-second check
Self Assessment
Do you do Self Assessment?
Income type
Do you have either of these?
- Self-employment (sole trader)
- Property rental income
Calculate
Work out your “qualifying income”
Self-employment income + Property income
Ignore PAYE salary, dividends, interest
Your band
Which band are you in?
MTD starts 6 Apr 2026
See Outcome B
MTD starts 6 Apr 2027
See Outcome C
Exempt
See Outcome A
Edge cases
Any “it’s complicated” flags?
Multiple income sources, unusual tax positions, complex claims — you may be brought in even if you’re near the threshold.
Your result
Outcome A
Not affected (for now)
- PAYE-only, or
- No sole trader / rental income
Outcome B
Affected from 6 Apr 2026
- Qualifying income over £50,000
- Expect quarterly updates + digital records
Outcome C
Affected from 6 Apr 2027
- Qualifying income over £30,000
What changes
Digital records • Quarterly updates • Year-end finalisation
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