It's me again getting in a state about MTD?

It’s me again getting in a state about MTD?

The government claim Making Tax Digital works “well for those who need it”, despite ongoing criticism over the scheme. The controversial scheme came into force in April this year, with landlords earning more than £50,000 required to keep digital records and submit quarterly updates to HMRC using authorised MTD-compliant software. Landlords earning between £30,000 and £50,000 will join the scheme in April 2027. Can apply for an exemption In a written parliamentary question, Liberal Democrat MP James MacCleary asked: “what assessment has the government made of the potential impact of Making Tax Digital on those over-70?” In response, Labour MP Dan 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 those who need to use it. “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. “Where a taxpayer cannot use MTD for Income Tax, for example due to age or disability, they can apply for exemption from the MTD requirements.” No advantage to Making Tax Digital As previously reported by Property118, despite the government claiming Making Tax Digital will help landlords, an accountant says this is not the case. Simon Misiewicz previously told Property118: “There’s no real benefit beyond maybe streamlining some of the work you already do, does it help with tax returns and submissions? The truth is, I can’t see how. “There’s no advantage for the individual in submitting quarterly returns, because HMRC doesn’t do anything with them until the end of the year. You don’t pay your taxes any earlier, and there is no real cash-flow benefit for the government”. The government admitted in the Making Tax Digital impact assessment that landlords earning £50,000 could incur an average transitional cost of £285 and an average annual additional cost of £115.
Readers Question by Readers Question
12:02 AM, 10th July 2026, 2 weeks ago 32
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Landlord NewsLandlords Questions

I’ve been thrown into a flat spin once again after reading that those poor sods who are already caught up in the MTD sh*tsh*w are fast approaching their first submission date and, knowing that will be me too in 2027, I was reminded that I have done nothing about getting myself ready for it

I am a 73-year-old techno dinosaur, and knowing that I will need to abandon the method that has served us well for the past 20 years (that being several self-designed Excel sheets to accompany a folder containing our receipts etc that goes in once a year to the accountant) I am TERRIFIED about what is heading down the line at me

I spoke to my s-i-l, and he reckons I need to find something that will work with XERO, which he is familiar with, so that he can help me, and bearing that in mind I had a go with the free trial GO version of Landlord Studio this morning. After several frustrating hours, I had added our 4 properties, our tenants and their rental amounts and dates. I even managed, with some help, to add the two of us as owners and to allocate our different shared percentages (because only I will need to engage with MTD in 2027)

Then I watched their demo, which tbh lost me within 2 minutes, but what became very clear very quickly was that, with 4 properties rather than just 3, we would be paying for a whole mass of functions and additions we don’t need: we don’t need marketing tools, or tenant finding tools or online rent collection options for starters

I am perfectly capable of remembering, with the help of our diary, when certificates are due, etc and I really feel that all we need is what we are obliged to provide to HMRC, which, as far as I can see, is some kind of a super simple digital tool that will collate and evidence our income and expenses and nothing else?

Is there a really straightforward and simple product out there that will do just that with no additional frills or fripperies, that will cost as little as possible and which will then tie up with XERO to submit my MTD report to HMRC???

Many thanks

Denise

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Tags: Making tax digital, MTD, Xero

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