When does Making Tax Digital (MTD) apply? Where are we now with MTD?
This is a freeview 'At a glance' guide to Making Tax Digital (MTD).
At a glance
- From April 2019, Making Tax Digital (MTD) for VAT became compulsory for most VAT registered businesses with a taxable turnover above the VAT registration threshold.
- From April 2022, MTD for VAT became compulsory for all VAT-registered businesses, including those below the VAT registration threshold, unless they are digitally excluded.
- From April 2026, MTD for Income Tax will apply for self-employed businesses and landlords with income over £50,000 per annum regardless of VAT status. This will involve quarterly reporting to HMRC.
- From April 2027, MTD for Income Tax will apply for self-employed businesses and landlords with income over £30,000 per annum regardless of VAT status. This will involve quarterly reporting to HMRC.
- The date at which partnerships including general partnerships, who were originally due to join from April 2025, will be required to join, will be confirmed later.
- MTD for Income Tax will apply for self-employed businesses and landlords with income over £20,000 per annum by the end of the current Parliament. The precise timing will be set out at a future fiscal event.
MTD for Corporation Tax will not apply before April 2026.
Detailed guides explaining the MTD requirements and what needs to be done can be found in our:
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