MTD for Landlords

Making Tax Digital

Navigating MTD for Landlords

Making Tax Digital for Income tax Self Assessment is coming into effect in April 2026 and preparing for this as a landlord is vital to minimse disruption.

What is Making Tax Digital for ITSA?

Making Tax Digital for Income Tax Self-Assessment (ITSA) is an initiative by HM Revenue and Customs (HMRC) that aims to improve tax reporting and reduce the tax gap. Rental income is one of the income streams that is subject to the MTD for ITSA rules. Landlords earning over £50,000 from property income or a non-incorporated business will have to register for MTD before the 6th April 2026, when the first phase of MTD ITSA becomes compulsory for landlords and sole traders earning over this threshold.

MTD for ITSA means that landlords earning a certain amount of money from your own property rental will have to submit quarterly returns to HMRC as well as a final declaration following the conclusion of the tax year. These returns must all be submitted through cloud accounting software meaning landlords must choose a software to upload receipts and invoices into.

At Sherwin Currid we are ready for the MTD for ITSA regulations. All of our clients are allocated a dedicated accountant who offers unlimited support to help you get to grips with MTD. In our team we have specialists in personal tax and property to ensure that you get the best advice from an accountant you can trust. We also work with various software providers and will advise you on the best software for you.

When does MTD for landlords take effect?

MTD for landlords has been delayed numerous times and is now scheduled to come into effect from the 6th April 2026. Landlords earning over £50,000 through rental income must register for MTD by this date or they will be subjected to penalties. Landlords earning between £30,000 and £50,000 will have to register by 6th April 2027. From these dates quarterly reporting becomes mandatory and you should be keeping your records on some form of digital software, replacing the current process of only completing an annual Self Assessment tax return at the end of the tax year

You can voluntarily register for MTD before these dates to get used to the new system but there is no obligation to do so. If you want to be proactive and register then we would be happy to speak with you about the MTD requirements and suggest software packages best suited to your needs. All of our clients have their own dedicated accountant that will take the time to understand your specific situation and offer personal advice to best prepare you for MTD.

How will MTD affect landlords?

MTD will necessitate a change for most landlords in the way they keep records. HMRC demand quarterly filings in addition to the final Self Assessment Tax Return meaning your digital records must be up to date throughout the year to ensure accurate filings. With the right software you will be able to log any invoices and expenses in real time allowing both yourself and your accountant to have access to the latest information to make informed decisions and complete any compliance accurately.

Preparing for MTD with Sherwin Currid

Here at Sherwin Currid we stay abreast of any changes to the UK tax system legislation and will always keep you up to date with upcoming changes that affect you. Our team are experts in a variety of cloud accounting software and will be able to advise you on the best software to suit your needs. All of our clients are allocated a personal, dedicated accountant who is on hand to answer any queries you may have about your tax affairs and MTD.

We work with first time landlords and seasoned veterans and can offer you assistance with managing rental income and meeting compliance needs. We have experts in property tax who are ideally suited to help you minimise your tax bill and ensure you are compliant with MTD when it comes into effect. You can read more about our services for landlords on our landlord accountants page.

Tailored services for landlords

We have worked with property owners for over 10 years providing landlord accounting services for a wide array of clients from those with a single property they wish to let, to property investors with large portfolios. Our team includes property tax experts who will be able to guide you through the complexities of HMRC’s rules and ensure you are set up efficiently for tax purposes.

Cloud accounting software

Cloud accounting software plays a pivotal role in complying with MTD’s digital requirements. It allows for seamless business record keeping, ensuring accurate data and easy access for quarterly updates and submissions. By moving away from manual spreadsheet entries to cloud accounting software packages you can save time and easily share your electronic records with your accountant.

By finding a suitable, compatible software you can efficiently manage your income tax self-assessment obligations. Choosing the right software is crucial for a smooth transition to the new digital tax system. At Sherwin Currid we offer expert help with choosing MTD compliant cloud accounting solutions

Finding the right software for you




Landlord handing over keys to a tenant

Frequently Asked Questions 

When do landlords need to start following MTD for ITSA guidelines?

Landlords need to start following MTD for ITSA guidelines from April 2026 if your income from rental properties exceeds £50,000 and April 2027 for those earning over £30,000. It’s vital to prepare early to meet the requirements and ensure compliance with the new regulations.

How can Sherwin Currid assist landlords in transitioning to MTD?

Sherwin Currid offers tailored services for landlords to smoothly navigate the introduction of MTD. With our expertise in cloud accounting software, we can assist you in finding the right software fit. Our guidance ensures a seamless switch to MTD, making compliance easier for landlords.

Do I need special software to comply with MTD for ITSA?

To comply with MTD for ITSA, you will need compatible accounting software. If you want to choose your own software you must make sure it is HMRC approved software to submit returns digitally.

What are the penalties for non-compliance with MTD regulations?

Failure to comply with MTD regulations can result in penalties such as fines and interest charges. It is crucial for landlords to meet the requirements to avoid repercussions. Partnering with us can help ensure you are prepared and are not subject to any non-compliance fines.

How soon should I start preparing for MTD as a landlord?

Now is a good time to start preparing for MTD as soon as possible to ensure a smooth transition. This includes organising your business records, familiarising yourself with the requirements of MTD, and considering software options that are compatible with MTD.

Sherwin Currid Directors

Our founding directors, Martyn Currid and Max Sherwin, set up Sherwin Currid to help freelancers and small businesses with accountancy. Since then we have grown to look after a wide range of clients while keeping our personal, professional service.

Our Client Testimonials

Some of our clients have been kind enough to leave us reviews of our accountancy services. Don’t just take our word for it, read some testimonials to see how we help people with their business and personal tax.

Looking for a wide range of accounting support?

If you are interested in switching your accountancy to us then get in touch today.
We will organise a free consultation, where one of our specialists will talk you through your options.