Landlords are in Making Tax Digital for Income Tax once gross property income, plus any self-employment income, is over £50,000 for 2024/25 (from 6 April 2026), £30,000 for 2025/26 or £20,000 for 2026/27. Rent counts before expenses.
The limit is tested against your qualifying income — self-employment plus property, before expenses — for 2024/25, 2025/26 and 2026/27 respectively.
Source: Find out if and when you need to use Making Tax Digital for Income Tax — gov.uk (opens in a new tab)Qualifying income is your income from self-employment and property before expenses. Property and self-employment are added together: £25,000 of rent plus £27,000 of self-employment is £52,000.
Source: Work out your qualifying income for Making Tax Digital for Income Tax — gov.uk (opens in a new tab)For jointly owned property, your share of the property income counts towards your qualifying income. If you only ever receive your share after expenses, HMRC assesses that net figure.
Source: Work out your qualifying income for Making Tax Digital for Income Tax — gov.uk (opens in a new tab)If you are UK tax resident, UK and foreign property income both count. If you are not, only UK property income counts unless you declare the foreign income on your UK Self Assessment return.
Source: Work out your qualifying income for Making Tax Digital for Income Tax — gov.uk (opens in a new tab)Standard quarters end 5 July, 5 October, 5 January and 5 April; calendar quarters are also allowed. Each update is cumulative from the start of the tax year.
Source: Send quarterly updates — Use Making Tax Digital for Income Tax — gov.uk (opens in a new tab)The limit is a test on gross income. A landlord with £52,000 of rent and £30,000 of mortgage interest and repairs is over £50,000 even though the profit is far lower. If you also have a trade or a side business, its turnover is added to the rent.
Partnership profit does not count for now. If you own property through a partnership, only your own personal income from it is considered; HMRC has said partnerships will need to use the service in future, with a timeline to follow.
Each quarter you send HMRC the totals for each property income and expense category, through compatible software, by 7 August, 7 November, 7 February and 7 May. You send totals rather than individual receipts and you do not make tax adjustments first. Updates are cumulative from the start of the tax year.
Some items are sorted out after the fourth update. HMRC's guidance gives joint property expenses and Rent a Room income as examples of things you can correct by resending the fourth update before making tax adjustments at year end.
A spreadsheet plus bridging software is the cheapest route for one or two properties. Landlord software that records rent from your bank and splits joint ownership removes the monthly upkeep. HMRC's software finder lists what has been through its recognition process; it does not recommend any product.
Our bridging software page explains the digital-links rule for spreadsheets, and the free MTD software comparison shows what a few providers say about landlords and pricing.
If your qualifying income is under the limit you keep filing your SA105 with your Self Assessment return. ac-co's Self Assessment product is live and HMRC-recognised for the SA100, and drafts the SA105 from your bank feed, including the Section 24 restriction.
ac-co's landlord product tracks rent through Open Banking, splits joint ownership and drafts the quarterly updates for you to review. It is in open beta. Live filing of quarterly updates to HMRC is not open yet, so use software from HMRC's list for any real deadline that falls before it opens.
Prepared from your connected bank and books, for you to review.
The records behind each figure, kept digitally.
What is due, and what it means for your bill.
In open beta: drafted for you to review. Live filing to HMRC is not open yet.
Enter your gross property income and any self-employment turnover. The checker tests the total against all three limits using the same engine as our eligibility calculator.
An estimate from the figures you enter, not advice. HMRC decides who is in scope, using your Self Assessment return.
Landlords with qualifying income over £50,000 for 2024/25 had to start on 6 April 2026. The limit is £30,000 for 2025/26 income and £20,000 for 2026/27 income. Rent and self-employment income are added together.
Rent received. Qualifying income is gross income from property and self-employment before expenses, so mortgage interest and repairs do not bring you under the limit.
Your share of the property income counts towards your qualifying income. A £50,000 jointly owned property with equal shares counts as £25,000 for each owner.
If you are UK tax resident, UK and foreign property income both count. If you are not UK resident, only UK property income counts, unless you declare the foreign income on your UK Self Assessment return.
Yes. Quarterly updates do not replace the tax return. You finish the year-end step and pay any tax owed by 31 January.
Not yet. ac-co Income Tax (MTD) and the landlord product are in open beta and draft the updates from your bank feed, but live filing to HMRC is not open. Join the waitlist and we will tell you when it is.
Read on 12 October 2026. HMRC changes its guidance; check the page itself for anything that may have moved since.
ac-co Income Tax (MTD) is in open beta. Join the waitlist and we will open seats in batches.