MTD for Income Tax checker
Making Tax Digital for Income Tax Checker
Check whether your self-employment and property income may bring you into MTD for Income Tax, and when you may need to start.
Use income before expenses. Do not deduct business costs, and do not include PAYE salary, dividends, pensions, capital gains or your share of partnership profit.
£57,000.00
Relevant threshold: more than £50,000.00
Likely within the MTD for Income Tax threshold
Based on the information entered, you are likely within the MTD for Income Tax threshold.
Possible start date: 6 April 2026
Check your exemption status and HMRC record before relying on this result.
Informational eligibility checker only. This is not tax advice and it is not an official HMRC determination of whether you must use Making Tax Digital for Income Tax.
Who needs to use Making Tax Digital for Income Tax?
Making Tax Digital for Income Tax is being introduced in stages. Whether you need to use it depends on your gross qualifying income from self-employment and property reported on an earlier tax return.
2024/25 tax return
over £50,000.00
→ 6 April 2026
2025/26 tax return
over £30,000.00
→ 6 April 2027
2026/27 tax return
over £20,000.00
→ 6 April 2028
Why does an earlier tax return determine when MTD starts?
HMRC looks at the qualifying income already reported on a completed tax return, then gives a lead-in period before the requirement begins. That produces a roughly two-year lag between the income being assessed and MTD starting.
- 1
2024/25 tax return → qualifying income assessed
If qualifying income is more than £50,000.00, MTD for Income Tax may start from 6 April 2026.
- 2
2025/26 tax return → qualifying income assessed
If qualifying income is more than £30,000.00, MTD for Income Tax may start from 6 April 2027.
- 3
2026/27 tax return → qualifying income assessed
If qualifying income is more than £20,000.00, MTD for Income Tax may start from 6 April 2028.
What counts as qualifying income?
Qualifying income is gross income from self-employment and property before expenses. It can come from more than one self-employment or property source, and foreign property income can count where HMRC guidance says it applies. Do not subtract business expenses before checking the MTD threshold.
Adding up qualifying income
- Freelance turnover: £38,000
- Rental income: £17,000
- Qualifying income: £55,000
Income that does not count toward this threshold
- PAYE employment income
- Dividends
- State Pension and private pensions
- Capital gains
- An individual's share of partnership profit
See the GOV.UK guidance on working out your qualifying income.
Worked examples
A — over the £50,000 threshold
- Freelance turnover: £45,000
- Property income: £12,000
- Qualifying income: £57,000
- 2024/25 threshold: over £50,000
Likely MTD start from 6 April 2026.
B — exactly at £30,000
- Freelance turnover: £30,000
- Property income: £0
- 2025/26 threshold: over £30,000
£30,000 exactly does not exceed the threshold.
C — combined income over £30,000
- Freelance turnover: £26,000
- Property income: £8,000
- Qualifying income: £34,000
Likely start from 6 April 2027.
What to do next if you exceed the threshold
- Check whether HMRC shows you as needing MTD.
- Check whether an exemption applies.
- Make sure you are registered for Self Assessment.
- Choose MTD-compatible software.
- Sign up or complete HMRC setup where required.
- Start keeping digital records.
- Prepare to submit quarterly updates.
- Continue to complete your tax return through compatible software.
PoundKit is not MTD-compatible submission software and does not send any records or returns to HMRC. See the GOV.UK step-by-step guide for sole traders and landlords.
Could an exemption apply?
This checker does not decide exemptions. You may need to check HMRC exemption guidance if, for example:
- you are digitally excluded
- you cannot reasonably use digital tools
- an automatic exemption applies
- another specific HMRC exemption category applies
What changes under MTD for Income Tax?
Where MTD for Income Tax applies, people generally need compatible software to:
- create and keep digital records
- send quarterly updates to HMRC
- make corrections where needed
- submit their tax return
GOV.UK guidance says you must continue keeping the supporting records you already need for Self Assessment. See Use Making Tax Digital for Income Tax.
As of September 2026, HMRC has begun signing up some people its records show need to use MTD for Income Tax for the 2026/27 tax year. This does not apply to everyone — check your own position on GOV.UK.
Related PoundKit tools
Self Assessment Tax Calculator →
Estimate the tax and National Insurance due on your profit.
Freelance Rate Calculator →
Set an hourly and day rate that covers tax and time off.
UK Freelance Rates Dataset →
Benchmark ranges for common UK freelance roles.
UK Freelancer Toolkit →
Calculators, templates and guides for going self-employed.
How much should freelancers save for tax? →
Set aside the right share of income before the bill arrives.
Official sources
This page was written against current GOV.UK guidance on Making Tax Digital for Income Tax. PoundKit is not affiliated with GOV.UK or HMRC, and this checker is information only, not tax advice.
Estimate your Self Assessment bill once you know where you stand.
Editorial review
Last reviewed .
Official guidance checked:
- GOV.UK — Find out if and when you need to use Making Tax Digital for Income Tax (opens in a new tab)
- GOV.UK — Work out your qualifying income for Making Tax Digital for Income Tax (opens in a new tab)
- GOV.UK — Use Making Tax Digital for Income Tax (opens in a new tab)
- GOV.UK — Making Tax Digital for Income Tax for sole traders and landlords: step by step (opens in a new tab)
- GOV.UK — Find out if you can get an exemption from Making Tax Digital for Income Tax (opens in a new tab)
Information only — not tax or legal advice. Always check current guidance on GOV.UK for your situation.
Questions
What is qualifying income for MTD for Income Tax?
Qualifying income is your total gross income from self-employment and property, before any expenses are deducted. If you have more than one trade or property business, the gross income from each is added together.Do business expenses reduce my MTD qualifying income?
No. The threshold is tested against gross income before expenses, not against taxable profit. A sole trader with £60,000 turnover and £25,000 of expenses still has £60,000 of qualifying income for this test.Does PAYE salary count toward the MTD threshold?
No. Employment income taxed through PAYE is not qualifying income for Making Tax Digital for Income Tax, even though it appears on your Self Assessment return.Does rental income count?
Yes. Gross UK property income counts, and foreign property income can also count where HMRC guidance says it forms part of your qualifying income. Use the rent received before deducting costs such as repairs, agent fees or mortgage interest.Does partnership income count?
No. An individual's share of partnership profit is not included in qualifying income for this test. Partnerships have a separate future timetable for Making Tax Digital.What happens if my qualifying income is exactly £50,000?
The rule applies where qualifying income is more than £50,000, so £50,000 exactly does not cross the threshold. £50,000.01 would. The same wording applies to the later £30,000 and £20,000 thresholds.When does the £30,000 threshold apply?
The £30,000 threshold is tested on the 2025/26 tax return, with Making Tax Digital for Income Tax starting from 6 April 2027 for people it applies to.When does the £20,000 threshold apply?
The £20,000 threshold is tested on the 2026/27 tax return, with a start date of 6 April 2028 for people it applies to.Can I be exempt from Making Tax Digital?
Some people can get an exemption, for example where they are digitally excluded or cannot reasonably use digital tools, and some exemptions apply automatically. This checker does not decide exemptions — check the GOV.UK exemption guidance and contact HMRC where needed.Does PoundKit submit quarterly updates to HMRC?
No. PoundKit's checker is informational and does not submit records or returns to HMRC. You will need HMRC-compatible software to keep digital records and send quarterly updates.