Making Tax Digital Calculator
Your results
Your qualifying incomeGross self-employment turnover + gross property income.
Your MTD waveBased on these figures; which tax year's figures decide your start date is explained below.
Next quarterly deadlineNext 7 August / 7 November / 7 February / 7 May deadline from today.
Final declaration dueFinal declaration deadline for your first MTD tax year.
Illustrative share per quarterIllustration only: your estimated bill split evenly into four quarters for cash-flow planning. Quarterly updates are summaries, not payments.
Late-update penaltiesPenalty points for late quarterly updates.
On this page
Making Tax Digital for Income Tax is now mandatory for UK sole traders and landlords whose qualifying income is over £50,000 — and the threshold drops to £30,000 in April 2027 and £20,000 in April 2028. The catch most people miss is that the test is on gross income: your turnover before expenses, plus gross rents, added together. This making tax digital calculator works out whether you are in scope, which wave you join, your quarterly deadlines, and what a year of MTD actually looks like for you.Enter your gross self-employment turnover and your gross rental income, and the calculator adds them into your qualifying income, matches it against the three waves, and shows your next deadline and your final declaration date. If you also enter an estimated annual tax bill, it illustrates that bill split evenly across the four quarters so you can plan cash flow — with the important note that quarterly updates are summaries, not payments: your bill is still paid on the usual 31 January timetable.Whether you are comparing options or planning ahead, this Making Tax Digital Calculator gives you the numbers to decide with confidence.
Making Tax Digital Calculator: Key takeaways
- Qualifying income is gross, not profit: self-employment turnover plus gross rental income, before any expenses are deducted.
- The waves are over £50,000 from 6 April 2026, over £30,000 from 6 April 2027, and over £20,000 from 6 April 2028; £20,000 or less is out of scope.
- Four quarterly updates a year, due 7 August, 7 November, 7 February and 7 May — and each update covers the tax year so far, not just the last three months.
- Quarterly updates are summaries, not payments: your tax bill and the 31 January payment date do not change under MTD.
- No penalty points for late quarterly updates in 2026/27 (soft landing) — but you must still send every update before you can file your tax return, and the points system applies in full from 2027/28.
- You need HMRC-recognised software to keep digital records and send updates; a plain spreadsheet only counts if it connects through bridging software.
How the Making Tax Digital Calculator works
- Enter your gross self-employment turnover — the total you invoiced, before expenses, not your profit.
- Enter your gross rental income — total rents before expenses. The calculator adds both figures into your qualifying income.
- It matches your qualifying income against the three waves: over £50,000 joins from 6 April 2026, over £30,000 from 6 April 2027, over £20,000 from 6 April 2028.
- It then shows your next quarterly deadline from today, the final declaration date for your first MTD year, and your penalty position.
- If you entered an estimated annual tax bill, it splits that bill evenly into four quarters as a cash-flow illustration only — quarterly updates themselves are summaries, not payments.
- Which year's figures decide your start: qualifying income over £50,000 in 2024/25 puts you in from 6 April 2026; over £30,000 in 2025/26 puts you in from 6 April 2027; over £20,000 in 2026/27 puts you in from 6 April 2028.
Making Tax Digital Calculator: worked example
Example 1 — £55,000 turnover, no rental income: Qualifying income is £55,000, so you are in Wave 1, from 6 April 2026. Your quarterly deadlines are 7 August, 7 November, 7 February and 7 May, and your final declaration for 2026/27 is due 31 January 2028. With an estimated tax bill of £8,000, the cash-flow illustration is £2,000 per quarter — but remember the updates themselves are summaries, and the £8,000 is still paid on the usual timetable.Example 2 — £28,000 turnover plus £5,000 of rents: Qualifying income is £33,000, so you are in Wave 2, from 6 April 2027 — even though neither figure alone crosses £30,000, HMRC adds them together.Example 3 — £55,000 turnover with £30,000 of costs: Your profit is £25,000, but the test ignores it: qualifying income is the £55,000 gross figure, so you are still in Wave 1. This gross-not-profit detail is the single most common reason people wrongly assume they are out of scope.Example 4 — £15,000 turnover, no rents: Qualifying income is £15,000, which is £20,000 or less, so you are not in scope and keep filing Self Assessment as normal — but recheck if your income grows, because the £20,000 wave arrives in April 2028.Your deadline calendar (standard update periods):| Update | Period covered | Deadline |
|---|---|---|
| Quarter 1 | 6 April to 5 July | 7 August |
| Quarter 2 | 6 April to 5 October | 7 November |
| Quarter 3 | 6 April to 5 January | 7 February |
| Quarter 4 | 6 April to 5 April | 7 May |
| Final declaration | Whole tax year | 31 January |
Making Tax Digital Calculator: frequently asked questions
Am I in Making Tax Digital?
If you are a sole trader or landlord registered for Self Assessment and your qualifying income — gross self-employment turnover plus gross rental income, before expenses — is over £50,000, you are in from 6 April 2026. The threshold drops to £30,000 in April 2027 and £20,000 in April 2028. Employment income, pensions, savings interest and dividends do not count toward qualifying income.
When exactly do I have to join MTD?
It depends on which tax year's figures cross the threshold: qualifying income over £50,000 in 2024/25 means from 6 April 2026; over £30,000 in 2025/26 means from 6 April 2027; over £20,000 in 2026/27 means from 6 April 2028. HMRC has been signing up people for 2026/27 in stages since September 2026 from their 2024/25 returns, so check your HMRC online account if you have not heard anything.
What are the MTD quarterly deadlines?
7 August, 7 November, 7 February and 7 May, for both standard and calendar update periods. Each update covers the tax year so far — for example, the 7 November update covers 6 April to 5 October — and you must send an update even for a period with no income or expenses. You cannot file your tax return until every quarterly update for the year is in.
Do quarterly updates mean I pay tax four times a year?
No. Quarterly updates are summaries of income and expenses, not payments and not tax returns. Your tax bill is still calculated at year-end and paid on the existing timetable — 31 January, with payments on account in January and July where they apply. The calculator's per-quarter split is a cash-flow illustration only, to help you set money aside evenly through the year.
What happens if I miss an MTD deadline?
In 2026/27 there are no penalty points for late quarterly updates — a soft landing for the first year — but you must still send every update before you can submit your tax return, and late tax returns still carry points. From 2027/28, each late quarterly update earns one penalty point, and reaching 4 points triggers a £200 penalty, with a further £200 for each later missed deadline.
What software do I need for MTD?
HMRC-recognised software that keeps digital records and sends quarterly updates to HMRC — HMRC publishes a finder tool for it, with free and paid options. A plain spreadsheet on its own does not qualify; it only counts if it connects through bridging software with an API link to HMRC.
Do partnerships and limited companies use MTD for Income Tax?
Not yet for partnerships — HMRC says partnerships will join MTD for Income Tax in the future and will set out the timeline later. Limited companies are a different regime entirely (Corporation Tax), so MTD for Income Tax does not apply to them.
Does MTD change how much tax I pay?
No. MTD changes how you keep records and how often you report — digital records plus four summaries a year instead of one annual return. Your tax calculation, your allowances and your 31 January payment date stay exactly the same.