MTD is an HMRC initiative that requires many businesses and landlords in the UK to keep digital records and submit quarterly updates on income and expenses using MTD-compatible, approved software, rather than one annual paper‑based return.
MTD for VAT is already mandatory for all VAT‑registered businesses. From April 2026, it will also apply to sole traders and landlords with a qualifying income of £50,000 or more through Self Assessment.
Below are the MTD deadlines for 2026 to 2027.
| Date | Action |
|---|---|
| 31 January 2026 | Submit your 2024–25 Self Assessment tax return as usual |
| 6 April 2026 | MTD starts for sole traders and landlords with a qualifying income over £50,000 |
| 7 August 2026 | First quarterly MTD update deadline |
| 7 November 2026 | Second quarterly MTD update deadline |
| 31 January 2027 | Submit your 2025–26 Self Assessment tax return as usual (this is the final return to be filed as normal) |
| 6 April 2027 | MTD starts for sole traders and landlords with a qualifying income over £30,000 |
| 7 February 2027 | Third quarterly MTD update deadline |
| 7 May 2027 | Fourth quarterly MTD update deadline |
| Date | Approximate Return |
|---|---|
| 31 March 2026 | 7 May 2026 |
| 30 June 2026 | 7 August 2026 |
| 30 September 2026 | 7 November 2026 |
| 31 December 2026 | 7 February 2027 |
| 31 March 2027 | 7 May 2027 |
| 30 June 2027 | 7 August 2027 |
| 30 September 2027 | 7 November 2027 |
| 31 December 2027 | 7 February 2028 |
At LJS Accounting Services, we provide trusted MTD services. Our team of MTD accountants can help by preparing and submitting your VAT and Income Tax returns to meet HMRC’s strict deadlines, or by assisting you when MTD doesn’t yet apply by preparing you for future changes. We ensure you meet strict HMRC deadlines and remain on hand when you require expert advice, guidance, and support.
To discuss our services, please contact our Making Tax Digital accountants today.
Yes, MTD is generally a good idea. It’s a positive change to modernise tax returns, reduce errors, improve cash flow, and speed up submissions. The only challenge it may present is some transitional issues, which can be resolved with the help of your appointed MTD accountant.
To stay MTD-compliant, you must use compatible software to maintain records, submit VAT and Income Tax returns, and file quarterly updates to HMRC.
For example, if you fail to comply with MTD for Income Tax, you may be issued penalty points for every late quarterly update or missed deadline. Once you reach 4 points, you’ll face a £200 automatic penalty, and an additional £200 penalty each time you reach the 4‑point threshold again. After this, you will face more severe penalties for repeated or intentional non‑compliance.
No, you do not legally need an accountant for MTD, but it’s highly recommended to hire one. MTD accountants assist with difficult transitions, ensure compliance, submit your returns on time to HMRC, offer advice and guidance, and allow you more time to focus on other important areas of your business.
MTD means accountants must now use compatible software to ensure clients’ records are up to date and sent to HMRC by the set deadlines. At LJS Accounting Services, we have a team of accountants who can efficiently manage digital processes and use compatible software.
How much accountants charge for MTD depends on your business size, how much you want to manage independently, and what you’d like your accountant to handle. We offer clear, transparent pricing for our services.
Please get in touch with our MTD accountants on 0151 601 0000 to discuss our fees.
Get in touch with one of our consultants today and we will be happy to help you with your matter.
