- Next MTD for Income Tax quarterly update: 7 November 2026 (6 July to 5 October 2026).
- In from April 2026 if qualifying income over £50,000; £30,000 from 2027 and £20,000 from 2028.
- No penalty points for late quarterly updates in the first 12 months; late returns still penalised.
Who has to send quarterly updates
| From | Qualifying income over | Based on |
|---|---|---|
| 6 April 2026 | £50,000 | 2024-25 tax return |
| 6 April 2027 | £30,000 | 2025-26 tax return |
| 6 April 2028 | £20,000 | 2026-27 tax return |
Qualifying income is gross self-employment and property income, not profit. Employment income and dividends do not count towards the threshold.
Deadlines for 2026-27
| Quarter (standard) | Update due |
|---|---|
| 6 April to 5 July 2026 | 7 August 2026 |
| 6 July to 5 October 2026 | 7 November 2026 |
| 6 October 2026 to 5 January 2027 | 7 February 2027 |
| 6 January to 5 April 2027 | 7 May 2027 |
After the year ends, the tax return (final declaration) for 2026-27 is due by 31 January 2028.
What goes in a quarterly update
- Totals of income and expenses by category, sent from MTD-compatible software built on the digital records you keep.
- A separate update for each business: each sole trade, UK property and foreign property income.
- No tax is paid with a quarterly update; payment dates are unchanged.
Penalties
For people who had to start on 6 April 2026, HMRC has said it will not apply penalty points for late quarterly updates in the first 12 months. Penalty points still apply to late tax returns, so do not treat the first year as optional.
For accountants: four extra deadlines per client
MTD turns an annual job into a quarterly one. Practices that keep up usually move clients to monthly bookkeeping in the software, so each quarterly update is a review, not a scramble. That categorising and reconciling is work an offshore team does well, leaving you to review and submit as agent. See outsourced accounting for UK practices.
Sources
- GOV.UK: Send quarterly updates (Making Tax Digital for Income Tax)
- GOV.UK: Deadline approaches for first Making Tax Digital quarterly update
- ATT: How does the income exemption work for MTD?
Frequently asked questions
When is the next MTD for Income Tax quarterly update due?
Who has to use MTD for Income Tax from April 2026?
Is there a penalty for a late MTD quarterly update?
Do I pay tax with each quarterly update?
Please note: this guide is general information based on the rules as they stood on the review date above. Regulations and RBI/CBDT procedures change often — please get advice on your specific facts before acting.