Making Tax Digital deadlines 2026/27: what UK practices need to know

Written by the Mipp team

Published: 8 October 2026 | Last checked against GOV.UK: 8 October 2026 | Accurate as of October 2026

The Making Tax Digital deadlines for Income Tax are 7 August, 7 November, 7 February and 7 May for quarterly updates, and 31 January after the tax year ends for the tax return, which sole traders and landlords in scope submit through compatible software (GOV.UK: send quarterly updates). It applies from 6 April 2026 to qualifying income over £50,000, from 6 April 2027 to qualifying income over £30,000 and from 6 April 2028 to qualifying income over £20,000 (GOV.UK: find out if and when you need to use it). For the 2026/27 tax year, HMRC will not apply penalty points for late quarterly updates.

Making Tax Digital deadlines at a glance

2026/27 tax year (clients who joined from 6 April 2026)

2027/28 tax year (adds clients with qualifying income over £30,000)

Source for the update periods and deadlines: GOV.UK. Days of the week are our calculation. GOV.UK does not say that a deadline moves when it falls at a weekend, so plan to send updates by the working day before.

Each quarterly update is cumulative: it covers the start of the tax year to the end of the update period, not just the last three months. The deadline is the same whether a client uses standard or calendar update periods.

Who has to join Making Tax Digital for Income Tax, and when

A client needs to use Making Tax Digital for Income Tax if they are a sole trader or landlord registered for Self Assessment, they have income from self-employment or property (or both), and their qualifying income is over the threshold for the relevant year (GOV.UK).

Qualifying income is total income from self-employment and property before expenses (turnover), based on the tax return for the earlier year. Employment income, a share of partnership profit, dividends and pensions do not count. GOV.UK's example: £25,000 of rental income plus £27,000 of self-employment income gives qualifying income of £52,000 (GOV.UK: work out your qualifying income).

Points practices need to know:

• HMRC writes to clients whose return shows qualifying income over the threshold, but a client who does not get a letter is still responsible for checking and signing up.
• Partnerships will need to use it in future, but HMRC has not yet set a timeline.
• Some people are exempt, for example if they are digitally excluded. Exempt clients keep filing a normal Self Assessment return. Check GOV.UK for the current exemptions and deferrals rather than relying on a summary.
• Clients can opt out if their qualifying income falls below the threshold for 3 tax years in a row.
• The return for the year before joining is filed as normal. A client joining on 6 April 2027 still files a normal 2025/26 return by 31 January 2027 and a normal 2026/27 return by 31 January 2028.

What a quarterly update is, and what it is not

A quarterly update is a summary of income and expense totals for each self-employment and property business, created by compatible software from the client's digital records. It is not a tax return, and no accounting or tax adjustments are needed before sending it. HMRC does not see individual receipts or invoices.

A few rules catch people out (GOV.UK):

• An update is still needed if there was no income or expense in the period.
• Updates can be sent any time from the end of the update period up to the deadline, or up to 10 days before the end of the period if no more transactions are expected.
• A client cannot change between standard and calendar update periods for a tax year after the first update has been sent.
• All quarterly updates for the year must be sent before the tax return can be submitted.

At the end of the year, the tax return is completed and submitted through Making Tax Digital software by 31 January after the tax year ends. As an agent, you can only submit a client's return this way if you are their main agent (GOV.UK: submit your tax return).

Penalties: the first year and after

Late quarterly updates

• 2026/27 tax year: there are no penalties or penalty points for missing a quarterly update deadline. Updates must still be sent before the 2026/27 return can be submitted, and penalty points still apply to a late tax return.
• Tax years after 2026/27: each missed quarterly update deadline or tax return deadline earns one penalty point. At 4 points there is a £200 penalty, and another £200 for each further missed deadline. A client can only get one point per deadline, even with several businesses.

Points below the threshold expire 24 months after the missed deadline. At the threshold, all points are removed only after 12 months of on-time submissions and once any outstanding updates and returns for the previous 24 months are sent (GOV.UK: penalties).

Late payment

In the first year of the new penalties, a client has 30 days from the due date to pay in full or contact HMRC to set up a payment plan before penalties start; after that it is 15 days. Late payment penalties do not apply to payments on account. Late payment interest is charged as before (GOV.UK).

Which penalties apply to which return

GOV.UK says the changes to late submission and late payment penalties apply from the tax year a client joins, and the current penalties still apply to previous tax years. For a client who joined on 6 April 2026, the current penalties apply to their 2025/26 return due on 31 January 2027 (GOV.UK).

What changed recently

• Penalties. See GOV.UK for how penalties for Making Tax Digital for Income Tax and penalties for late Self Assessment returns work.
• The £20,000 threshold from April 2028 was set out by the government in March 2025 and is now in HMRC's guidance.
• No penalty points for late quarterly updates in 2026/27, confirmed on GOV.UK.
• Next Budget: Wednesday 28 October 2026 (GOV.UK). We will update this page if anything changes.

How Making Tax Digital fits around Self Assessment season

For a practice, the hard part is not any single date. It is how the new quarterly cycle stacks on top of the January peak. See the Self Assessment season plan.

Worked example 1: a client in Making Tax Digital since 6 April 2026.

Worked example 2: a client joining on 6 April 2027 (qualifying income over £30,000 on their 2025/26 return). They file a normal 2025/26 return by 31 January 2027. Their first quarterly update is due by 7 August 2027. GOV.UK says a missed quarterly update deadline earns a penalty point for tax years after 2026/27 (GOV.UK: penalties). Their normal 2026/27 return is due by 31 January 2028, followed by the third 2027/28 update a week later on 7 February 2028.

The practical takeaway: the 2025/26 returns you prepare this season tell you which clients join in April 2027. Note each sole trader's and landlord's qualifying income as you prepare their return.

Sorting your client list for Making Tax Digital

Put every sole trader and landlord into one of four groups:

In Mipp, tick "MTD for Income Tax" on a client's profile and their four quarterly update deadlines and their end-of-year return appear in the Compliance view under the Self Assessment tab, next to their normal return. Each one has a stage (To do, In progress, Waiting on client, With client, Signed, Submitted), so you can see at a glance whose update is waiting on records. Mipp tracks the deadlines as part of its accountancy practice software; the updates themselves are sent through Making Tax Digital compatible software. Deadline dates are a planning aid calculated from the information you enter, using standard UK rules, so always check against HMRC.

Making Tax Digital for VAT

Making Tax Digital for VAT is already in place: all VAT-registered businesses should now be signed up (GOV.UK). VAT returns and payments are usually due one calendar month and 7 days after the end of the VAT period, and the payment must reach HMRC by the deadline even at a weekend (GOV.UK).

See the full HMRC deadlines calendar.

Frequently asked questions

What are the Making Tax Digital deadlines for 2026/27?

Quarterly updates are due by 7 August 2026, 7 November 2026, 7 February 2027 and 7 May 2027, and the 2026/27 tax return by 31 January 2028.

Who has to use Making Tax Digital for Income Tax from April 2027?

Sole traders and landlords registered for Self Assessment whose qualifying income from self-employment and property was over £30,000 for the 2025/26 tax year.

What happens if a quarterly update is late in the first year?

For the 2026/27 tax year there are no penalty points for late quarterly updates. The updates must still be sent before the 2026/27 tax return can be submitted, and a late tax return still earns a penalty point.

Do clients in Making Tax Digital still file a 2025/26 return by 31 January 2027?

Yes. The return for the tax year before a client joins is filed in the normal way, and the current Self Assessment penalties apply to it.

When is the first end-of-year return under Making Tax Digital due?

By 31 January 2028, for the 2026/27 tax year, submitted through Making Tax Digital compatible software.

Can a client use calendar quarters instead of tax quarters?

Yes. Calendar update periods run from 1 April and end on the last day of the month. The deadlines are the same as for standard periods, and the choice cannot be changed for a tax year once the first update has been sent.

How can a practice track MTD updates for many clients?

Group clients by when they join, then keep every quarterly update at a stage so you can see who still owes records. Mipp's Compliance view does this alongside each client's other deadlines.

See every MTD deadline in one view

Flag your MTD clients once and see every quarterly deadline. Start a 14-day free trial. Plans start at £19 a month for one person; see pricing.

See how Mipp works as a CRM for accountants or as practice management software for small firms.

Sources

All checked on 8 October 2026. Accurate as of October 2026.

1. GOV.UK, Find out if and when you need to use Making Tax Digital for Income Tax (updated 30 September 2026). https://www.gov.uk/guidance/find-out-if-and-when-you-need-to-use-making-tax-digital-for-income-tax
2. GOV.UK, Work out your qualifying income for Making Tax Digital for Income Tax. https://www.gov.uk/guidance/work-out-your-qualifying-income-for-making-tax-digital-for-income-tax
3. GOV.UK, Use Making Tax Digital for Income Tax: send quarterly updates (updated 7 October 2026). https://www.gov.uk/guidance/use-making-tax-digital-for-income-tax/send-quarterly-updates
4. GOV.UK, Use Making Tax Digital for Income Tax: submit your tax return. https://www.gov.uk/guidance/use-making-tax-digital-for-income-tax/submit-your-tax-return
5. GOV.UK, Penalties for Making Tax Digital for Income Tax (updated 30 September 2026). https://www.gov.uk/guidance/penalties-for-making-tax-digital-for-income-tax
6. GOV.UK, Charge, reclaim and record VAT. https://www.gov.uk/charge-reclaim-record-vat
7. GOV.UK, How to submit your VAT Return. https://www.gov.uk/submit-vat-return
8. GOV.UK, Chancellor letter to the Treasury Select Committee: Budget 2026 date. https://www.gov.uk/government/publications/chancellor-letter-to-the-treasury-select-committee-tsc-budget-2026-date