Over £30,000? MTD from April 2027

What counts towards £30,000

Your qualifying income: total self-employment and property income before expenses. Wages from a job (PAYE), dividends, pensions and partnership profit shares don't count. HMRC (opens in new tab).

That means turnover, not profit. A sole trader turning over £34,000 with £15,000 profit is still over the line. HMRC's own example adds £25,000 of rent to £27,000 of self-employment income to get £52,000. HMRC (opens in new tab).

If you own a rental jointly, only your share counts. HMRC (opens in new tab).

Which year HMRC looks at

The 2025 to 2026 tax year (6 April 2025 to 5 April 2026). HMRC reviews your Self Assessment return each year and, if you're over the threshold, writes to confirm you need to start by the following tax year. HMRC (opens in new tab). The online return for 2025 to 2026 is due by 31 January 2027. GOV.UK (opens in new tab).

Even if HMRC doesn't write to you, it's still your job to check and sign up. HMRC says it's your responsibility. HMRC (opens in new tab).

Under £30,000?

The next threshold is £20,000, based on 2026 to 2027 income, from 6 April 2028. HMRC (opens in new tab). Some people are exempt, for example if they're digitally excluded. HMRC (opens in new tab).

Getting ready: a simple order

1. Check your 2025 to 2026 turnover and rent with our checker.
2. Pick software that covers all your income sources. Compare every HMRC-recognised product in the finder, or keep your spreadsheet with bridging software.
3. Start keeping digital records early, so April isn't a cliff edge.
4. Sign up with HMRC. You need to be registered for Self Assessment and have sent a return in the last 2 years. HMRC: sign up (opens in new tab).
5. Diary your first deadline: 7 August 2027, for 6 April to 5 July. HMRC (opens in new tab). Our deadline calendar has it.

Facts checked against GOV.UK on 2026-10-16. General information, not tax advice.