Making Tax Digital for Income Tax - From 6 April 2026

The new Making Tax Digital for Income Tax service will come into force from 6 April 2026, representing a major change to the way that self?employed individuals manage their tax. It is part of HMRC’s efforts to modernise the tax system and reduce errors and it will be phased in over the next three years, starting with individuals with a turnover over £50,000.

Rather than paying four tax bills a year, individuals will need to pay a single tax bill and use recognised software to keep records of their income and expenses. Using the software, individuals will have to send quarterly updates to HMRC, which will enable HMRC to produce an estimate of an individual’s tax bill. The deadline for payment of the tax bill will be 31 January. Individuals will need to check their eligibility for the new service and sign up in time; they will not automatically be signed up by HMRC. Further information is available in a series of FAQs published by HMRC.