SelfSubmit is designed to help you stay compliant with HMRC Making Tax Digital requirements. You remain responsible for ensuring the information you submit is accurate.

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MTD for Income Tax

MTD for Income Tax (MTD ITSA) is HMRC’s digital reporting system for self-employed people and landlords. You keep records digitally, send quarterly summaries during the year, then file a final declaration.

  • Digital records replace paper-only bookkeeping for those in scope
  • Quarterly updates are summaries — not your full tax bill
  • Thresholds are £50k (Apr 2026), then £30k (2027) and £20k (2028)

What it is

MTD for Income Tax (also called MTD ITSA) is HMRC’s digital way for self-employed people and landlords to report income tax. Instead of only filing once a year on paper, you keep digital business records and send updates through compatible software during the tax year, followed by a final declaration.

Self-employed profits and UK property income count toward the threshold. If you are employed as well, employment income is usually handled through PAYE but still appears on your end-of-year declaration. Software must be able to send data to HMRC securely — spreadsheets alone are rarely enough unless they meet digital-link rules.

Who it applies to

From April 2026, it applies to self-employed individuals and landlords whose total qualifying income is over £50,000 (reducing to £30,000 from April 2027, and £20,000 from April 2028, under current government plans). You must also be registered for Self Assessment. Check GOV.UK for your exact start date.

What you need to do

  • Keep digital records of income and expenses as you go.
  • Send quarterly updates to HMRC (income and expenses summary).
  • Send a final declaration after the tax year ends, including any other income.
  • Use HMRC-compatible software that connects to HMRC systems.

Key points

  • Quarterly updates are not a tax bill — they update HMRC on your trading income.
  • You still pay tax through Self Assessment payment deadlines.
  • Separate rules apply if you also operate a VAT-registered business.

Common mistakes to avoid

  • Assuming quarterly updates are the same as paying tax — payment dates are separate
  • Waiting until January to organise a full year of receipts
  • Using software that cannot connect to HMRC when you are in scope

How SelfSubmit helps

SelfSubmit supports monthly income and expense capture so quarterly figures are available when due. Select your trade when you add a business and the form loads the relevant line items.

Further reading