Updated HMRC guidance on Making Tax Digital

Joining date – i.e. when sole traders and property owners will need to join MTD.

Notably where income is over £50k in 2024/25, the tax return for that year will be submitted as normal (submission deadline by 31 January 2026) and HMRC will then write to individuals before 6 April 2026 to confirm MTD returns are required.

HMRC have updated the MTD tool (link to https://www.gov.uk/guidance/check-if-youre-eligible-for-making-tax-digital-for-income-tax). The tool can be used to check whether an individual will be within MTD (and which of the staggered start dates will apply to them). Individuals with foreign income should not use the tool and instead they should refer to this link: Work out your qualifying income for Making Tax Digital for Income Tax. (link to https://www.gov.uk/guidance/work-out-your-qualifying-income-for-making-tax-digital-for-income-tax)

The MTD tool can be used by Agents on behalf of clients.