Being assertive with HMRC about MTD exemption?
3 weeks ago | 10 comments
Government defends Making Tax Digital for landlords
9:52 AM, 8th September 2026, 4 days ago
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The government claims Making Tax Digital helps landlords stay on top of their tax affairs.
In a Parliamentary written answer, Exchequer Secretary to the Treasury, Dan Tomlinson, said Making Tax Digital works well for businesses “of all types and sizes”.
Making Tax Digital for Income Tax became compulsory in April 2026 for landlords and sole traders with qualifying income of more than £50,000.
The threshold will fall to more than £30,000 from April 2027, bringing a further group of landlords, property owners and self-employed people into the system.
MTD works well for landlords
Mr Tomlinson said: “The government has worked with taxpayers, representative bodies and software developers to ensure Making Tax Digital (MTD) for Income Tax works well for businesses of all types and sizes.
“MTD will help businesses and landlords keep on top of their tax affairs. It places small businesses on a more digital footing, with digital tools helping to reduce errors and making annual tax returns easier.
“The government has worked with the software industry to ensure a wide range of options are available to suit different needs and budgets, including low-cost and free software, supporting those with the simplest affairs. Many products are designed for users who manage their own tax affairs or those new to digital tools.”
The news comes as landlords who have not signed up for Making Tax Digital (MTD) may soon find that HMRC has done it for them.
The tax authority is beginning automatic registration from this month, in stages, for people it believes should already be using MTD for Income Tax.
HMRC says more than 570,000 customers have joined the service, with more than 436,000 sending their first quarterly update.
Tags:
Making Digital deadlines, Making tax digital, Making Tax Digital for Landlords, Making Tax Digital Income Tax
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Member Since July 2013 - Comments: 523 - Articles: 1
3:11 PM, 8th September 2026, About 3 days ago
Reply to the comment left by Stephen Buck at 08/09/2026 – 12:41
And they said, “Winston Smith, 2 and 2 is 5 and Black is White. Would you like to see the rats again? ”
(1984)
Member Since December 2013 - Comments: 182
9:56 PM, 8th September 2026, About 3 days ago
Well that’s certainly not the experience of my wife and I. We run our portfolio as our sole income stream. My wife doing ‘everything admin’ and me doing the grunt work or repairs and upgrades full time (inbetween attempting to stay afloat with the continyal governmental sabotage of forever moving goalposts).
My accountant of 30 years always said as soon as mtd hit he would retire- and has. My wife finds it takes far longer to ‘book keep’ with one record being done for mtd and still needing to do our old one on spreadsheets so we can see tge business as we need to. Moreover, the software (at least sage) doesn’t appear to have been created for a landlord business and the new accountants agree. The software will need to be more landlord friendly. At present it’s just more time consumed and higher accountant fees- all which will be reflected in sec13s
Member Since October 2022 - Comments: 263
11:40 PM, 8th September 2026, About 3 days ago
Reply to the comment left by David at 11:15
Pigs will fly before they abolish Section 24. More likely, they will completely remove mortgage interest relief, so we don’t even get the 20% tax credit. Just watch rents go up and tenants being evicted as the sector is completely eviscerated, whilst rent pressure groups blame it all on “greedy landlords” like they have been told to do.
Member Since July 2013 - Comments: 523 - Articles: 1
9:07 AM, 9th September 2026, About 3 days ago
Reply to the comment left by Peter Merrick at 08/09/2026 – 23:40
That is one of my fears too.
Member Since April 2018 - Comments: 596
12:04 PM, 9th September 2026, About 2 days ago
Reply to the comment left by Peter Merrick at 23:40
My feeling also but being broadcast as part of a rent cap deal.
national landlord database rollout December at £65 per property per annum.Yet another rip out.Why per property.
Member Since July 2013 - Comments: 523 - Articles: 1
3:26 PM, 9th September 2026, About 2 days ago
Reply to the comment left by David at 09/09/2026 – 12:04
Indeed why per property, because I expect we will have to do all the uploading anyway.
When will these clowns in govt realise that all these extra costs just get loaded on the end consumer – in this case tenants, plus even more landlords exit, pushing the rents up even more..
Member Since April 2018 - Comments: 596
6:06 PM, 9th September 2026, About 2 days ago
Reply to the comment left by David Lawrenson at 09/09/2026 – 15:26
I do think rent controls will come in based on the CPI so landlords will not be allowed to increase rents by more even for new tenants.Removing mortgage interest relief completely would be the end for many, although we keep saying this. This government seems completely irresponsible when it comes to rentals as where do they intend to house all those made homeless along with the illegals.
Member Since July 2013 - Comments: 523 - Articles: 1
11:20 AM, 10th September 2026, About 1 day ago
Reply to the comment left by David at 09/09/2026 – 18:06
I think it v likely too, that to try to stem the flood of landlords leaving a little bit, Bumham will jack CGT up to 40% for everyone, or just for landlords.
Member Since April 2018 - Comments: 596
11:38 AM, 10th September 2026, About 1 day ago
Reply to the comment left by David Lawrenson at 10/09/2026 – 11:20
CPI and RPI are meaningless .As we know mortgage interest will increase along with contractor’s prices well above these indexes so it will force landlord’s out. Only those will large reserves or no mortgages will weather this storm.