Making Tax Digital for Income Tax kicks in 6 April 2026. If you earn over £50,000 self-employed, you're in scope.
This is not optional. This is not "maybe next year". This is now.
What actually changes
- Quarterly digital submissions to HMRC (not just annual)
- Must use MTD-compatible software (Excel/Sheets don't count unless bridged)
- Digital record-keeping from day one of the tax year
- End of Period Statement (EOPS) and Final Declaration replace the annual return
The bits nobody mentions
- Your current spreadsheet won't work. Unless you bolt on bridging software.
- Free options exist. HMRC's own MTD software list includes free tools for simple cases.
- You're submitting 5 times a year instead of once. Quarterly + final.
- Penalties are points-based now. Miss submissions → get points → hit threshold → automatic £200 fine.
Quick check: does this affect you?
Answer three questions:
- Are you self-employed or a landlord?
- Is your qualifying income over £50,000?
- Is it... currently 2026?
All three yes? Congratulations, you're in scope.
Not sure? Use this → MTD Readiness Checker — takes 2 minutes.
What to do this week
- Check if you're affected — MTD Readiness Checker
- Pick your software — Best MTD Software for Sole Traders
- Understand the costs — MTD Cost Calculator
- Check the penalty system — MTD Penalty Calculator
Don't be the person googling "MTD penalty appeal" in July.
Anyone else finding the transition painful? What software are you going with?
Free MTD tools + guides at landolio.com/tools
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