Making Tax Digital for Landlords: What You Need to Know Before 2026
Landlord tax is about to change. From April 2026, HMRC will require many landlords to keep digital records and submit tax information every quarter under the Making Tax Digital (MTD) scheme.
For landlords already juggling tenants, repairs, and compliance, this might sound like yet another layer of admin. But with the right system in place, MTD doesn’t have to be complicated.
What Is Making Tax Digital (MTD)?
MTD is HMRC’s plan to modernise the tax system. Instead of one yearly self-assessment tax return, landlords will need to:
- Keep digital records of rental income and expenses
- Submit quarterly updates to HMRC through approved software
- Complete a final end-of-year declaration
The rollout starts in April 2026 for landlords with income over £50,000, and will extend to those earning above £30,000 in 2027.
What Does This Mean for Landlords?
In practice, it means no more last-minute paperwork or stacks of receipts. Landlords will need to get comfortable with:
- Quarterly submissions instead of one annual tax return
- Digital record keeping (spreadsheets alone won’t be enough)
- MTD-compatible software to communicate with HMRC
Failing to comply could result in fines or penalties, so it pays to get prepared early.
How MyPropertyPal Helps You Stay Ahead
- Financial Manager: Track income and expenses automatically, use flexible rent schedules, and scan/categorise invoices and receipts with AI-powered tools — ensuring no expense is missed.
- Document Storage: All important rental documents, from contracts to receipts, are stored securely and ready for when HMRC requires evidence.
- Dashboard Overview: Instantly see rental income, expenses, and compliance deadlines — making quarterly submissions far less stressful.
- Compliance Tracking: Automated reminders for gas safety checks, EPCs, and other legal requirements mean fewer last-minute surprises.
Why Prepare Now?
MTD may not arrive until 2026, but setting up digital record keeping today means:
- Less stress when the rules take effect
- Accurate records all year round
- No risk of missing tax-deductible expenses
- A smoother transition to quarterly reporting
Ready to Get MTD-Ready?
Sign up today for early access to the MyPropertyPal Beta Release — the all-in-one platform that makes managing rent, compliance, and tax simple and secure.