/ UK · Making Tax Digital · Updated 2026-11-02
MTD for Income Tax: quarterly update due 7 November 2026, and every 2026-27 deadline.
Sole traders and landlords in the first Making Tax Digital for Income Tax cohort must send their second quarterly update, for 6 July to 5 October 2026, by 7 November 2026. HMRC will not issue penalty points for late quarterly updates in 2026-27, but the easement does not cover the tax return or payments, and it does not extend to the larger cohort joining in April 2027.
Written by CA Durgesh Chavda
Chartered Accountant (ICAI) · Founder, Bharat Quantum Prospera · NRI taxation, US incorporation, transaction due diligence, forensic audit, AEO, cross-border tax · LinkedIn
/ The deadlines
Standard quarterly periods.
| Quarterly period (2026-27) | 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 |
| Tax return for 2026-27 | 31 January 2028 |
/ Penalties in the first year
What is relaxed and what is not.
- For 2026-27, HMRC will not issue penalty points for late quarterly updates from the first MTD for Income Tax cohort.
- The easement does not cover the 2026-27 tax return or late payment of tax.
- Taxpayers who join from 6 April 2027 (qualifying income above GBP 30,000) get no such easement; their first quarterly update is due 7 August 2027.
- Under the points regime, four points trigger a GBP 200 penalty, and each further missed deadline while at the threshold adds another GBP 200.
/ Who is in scope
And who joins next.
- From 6 April 2026: sole traders and landlords with qualifying income (self-employment plus property) above GBP 50,000 in 2024-25.
- From 6 April 2027: above GBP 30,000 (tested on 2025-26). From 6 April 2028: above GBP 20,000.
- Partnerships are not yet in scope.
/ For UK practices
Four deadlines a year per client.
- Quarterly updates turn one annual job into five touchpoints per client: four updates and the tax return.
- Routine work (bank feeds, categorising transactions, preparing the quarterly summary in MTD-compatible software) can be handled offshore, leaving your team to review, advise and submit as agent.
- Plan now for the April 2027 cohort, which is larger and has no penalty easement.
See outsourced accounting for UK practices and the UK GDPR outsourcing checklist.
Sources: Xero: MTD for Income Tax penalties; TaxAssist: quarterly updates; GOV.UK: MTD for Income Tax.
Last updated: 2 November 2026. Some clients may use different update periods; check HMRC's guidance and your software for each client's obligations.
/ Ready when you are
MTD workload piling up?
Email durgesh@bharatquantumprospera.com or WhatsApp +91 78018 87130. Fixed-scope quote within 48 hours.
FAQ
Common questions, answered.
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