Property owners earning above £50,000 in rental income will have to send quarterly tax returns to HMRC from April.
9th Jan 20260 781 1 minute read David Callaghan
Landlords are not ready for new rules on filing tax returns due to come into force in a few months’ time, expert advisers warn.
Any property owner with annual rental income above £50,000 has to provide HMRC with updates every three months, under the new requirements.
Starting this April, the Government’s Making Tax Digital (MTD) programme comes into force, followed by further rules affecting any self-employed worker earning £30,000 next year and £20,000 in 2028.
Last strawAnd landlords could be landed with software and training costs of nearly £500 to comply with digital filing.
Propertymark has previously warned that for many landlords the new rules would be the last straw for landlords thinking of quitting.
Scrambling
Nikita Cooper, Tax Director, Price Bailey
Nikita Cooper, Tax Director at accountancy firm Price Bailey, told the FT that many of those affected by the changes were “unsure of what this means and practically how and what they need to do”.
Claire Roberts, Tax Partner, Moore Kingston Smith
And Claire Roberts, Tax Partner at Moore Kingston Smith, said the lack of awareness left people “scrambling around after January 31 to sign up and understand what they need to do before April”.
Extra workA spokesperson for HMRC told the FT: “We’ve worked extensively with customers, representative bodies and software developers to ensure Making Tax Digital works for small businesses and landlords, helping them prepare for the change.
“It will ensure that more businesses get their tax right, avoiding the worry, cost and burden of extra work when things go wrong, helping to close the tax gap. It will also give customers a better view of the health of their business.”
Tagslandlord tax Making Tax Digital 9th Jan 20260 781 1 minute read David Callaghan Share Facebook X LinkedIn Share via Email
