MTD for Income Tax for landlords

Does it apply to you?

Add up your gross rent before expenses (your share of any jointly owned property) and any self-employment turnover. If that total was over £50,000 in 2024 to 2025 you needed MTD from 6 April 2026. Over £30,000 in 2025 to 2026 means April 2027; over £20,000 in 2026 to 2027 means April 2028. Check your figures.

If you are not UK resident, only your UK property income (and self-employment you declare on your UK return) counts (GOV.UK). People whose return includes the SA109 residence page are exempt until April 2027 at the earliest; see exemptions.

Your rent and expense records

You must keep digital records of UK property income (such as rent) and expenses (such as repairs). All your UK properties count as one UK property business, so you do not need separate records for each one, and your software sends one quarterly update for them (GOV.UK).

Each record needs the amount, the date and the category, using the same categories as Self Assessment. GOV.UK's example lets a landlord record one £3,000 figure for a quarter's rent instead of three £1,000 records.

Simpler categories: if your UK property turnover is under £90,000 you can categorise in less detail, but residential landlords must still record whether each expense is a restricted finance cost (for example mortgage interest).

Jointly let property

For property you let jointly, your quarterly updates can include either income and expenses, or income only. If you leave the expenses out, you add them after the tax year by resending your fourth quarterly update before you submit your tax return. Properties you own outright must include income and expenses (GOV.UK).

Rent-a-Room and the £1,000 property allowance

If you used Rent-a-Room relief and also had other UK property income, or your gross income was over the Rent-a-Room threshold, you need digital records of the Rent-a-Room income too. The relief is then applied.

If you claimed the £1,000 property income allowance on your last return, you still keep digital records and include them in your updates, then claim the allowance on your tax return (GOV.UK: property and trading allowances).

Foreign property

Keep separate digital records for each foreign property (and your share of any jointly let foreign property). Together they form one foreign property business, so the software combines them into one quarterly update.

Dates for landlords

Quarterly updates are due 7 August, 7 November, 7 February and 7 May. If your accounting year runs 1 April to 31 March, choose calendar update periods in your software before your first update. The tax return and tax bill are still due 31 January. Work out your dates.

Buying another property?

MTD does not change stamp duty, but buying an extra property to let usually means the higher rates for additional homes. Estimate it with UK Stamp Duty Calc.

Questions