Do I Need Making Tax Digital?

Making Tax Digital for Income Tax is being introduced in phases, based on how much gross income you have from self-employment and property. Enter your figures to see whether it is likely to apply to you, and from when.

Check if Making Tax Digital applies

Enter your gross income before expenses. Do not deduct costs — qualifying income is measured on income, not profit.

HMRC looks at the qualifying income reported for this year to decide when Making Tax Digital starts.

Total turnover before expenses. Enter £0 if none.

Total rent received before costs. Enter £0 if none.

Combined qualifying income
£0
Threshold for 2025/26
over £30,000

Based on the figures entered, mandatory Making Tax Digital for Income Tax does not currently appear to apply.

This is an estimate based on the figures you entered — not an official HMRC determination.

Exemptions may apply, and special circumstances can change the result — for example if you are a partner in a partnership, if you have income from other sources, or if HMRC has agreed an exemption for you. Always check the official GOV.UK guidance for your own position.

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Get free reminders for Self Assessment, payments on account and Making Tax Digital deadlines.

Free to join. Unsubscribe anytime.

Learn more about our free tax deadline reminders

How the phased thresholds work

Rather than starting for everyone at once, Making Tax Digital for Income Tax arrives in stages. Each stage looks at the qualifying income reported for one particular tax year, and brings people in from the following April once they are above the threshold.

  • Qualifying income over £50,000 for 2024/25 — Making Tax Digital for Income Tax from 6 April 2026.
  • Qualifying income over £30,000 for 2025/26 — Making Tax Digital for Income Tax from 6 April 2027.
  • Qualifying income over £20,000 for 2026/27 — Making Tax Digital for Income Tax from 6 April 2028.

Gross income, not profit

This is the point most people get wrong. Qualifying income is based on relevant gross income before expenses from self-employment and property, subject to HMRC's detailed rules. A courier turning over £55,000 with £20,000 of costs has a profit well below £50,000 — but their qualifying income is above it. If you want your profit figure for tax purposes instead, use the Sole Trader Profit Calculator.

What being in Making Tax Digital involves

You keep digital records of your business income and expenses, send quarterly updates to HMRC using compatible software, and still complete an annual process to finalise your tax position for the year. Your tax payment dates are not changed by Making Tax Digital itself, so payments on account continue to work as they do now.

Our Making Tax Digital for Income Tax guide walks through record keeping, software and quarterly deadlines in plain English.

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Frequently asked questions

Official sources

MoneyCalcs UK is not affiliated with or endorsed by HMRC or the UK Government. This calculator gives a guide only and is not an official HMRC determination.

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