If you are already registered for Making Tax Digital (MTD) for Income Tax, it is important to ensure you are ready for your first quarterly update deadline. Unlike a traditional self-assessment return, MTD requires you to keep digital records and submit regular updates to HMRC throughout the year.
Your MTD software will use your digital records to prepare quarterly updates that summarise your self-employment and property income and expenses. These updates are not tax returns and do not require tax or accounting adjustments before submission. Instead, they provide HMRC with totals for the income and expense categories used in your records.
For taxpayers using standard update periods aligned with the tax year, the first quarterly update will cover the period from 6 April 2026 to 5 July 2026 and must be submitted by 7 August 2026. If you use calendar update periods, the first update will cover 1 April 2026 to 30 June 2026 and is also due by 7 August 2026.
You must submit quarterly updates for each self-employment or property business you operate, even if you have had no income or expenses during the period. HMRC will not receive individual invoices or receipts, only the totals from each income and expense category.
After submitting an update, your software or HMRC online account may provide an estimated tax calculation based on the information available. However, this estimate may not include all sources of income unless they have been recorded or are already held by HMRC.
HMRC will not apply penalty points for late quarterly updates during the current 2026-27 tax year. However, it is important to note that setting up the right system now will ensure you are fully prepared going forward.
