Landlords Corner – Autumn Statement Special
Making Tax Digital Changes - The letting sector had significant hopes for a helping hand from the Government in the Autumn Statement. The reality is, the whole thing passed by quickly without really touching on the housing market, or the letting sector.
This isn’t to say there was nothing of interest to landlords, and if you earn less than £30,000 a year; there might be some good news relating to HMRC’s Making Tax Digital Scheme.
Landlords who enjoy an income of more than £50,000 have to join and use the MTD scheme from April 2026. Landlords whose income is more than £30,000 but no more than £50,000 have to join and use the scheme from April 2027.
The HMRC website has a statement saying it will “keep under review the decision on further mandation of businesses and landlords with income below £30,000”.
The scheme has changed many times
It is fair to say some landlords have experienced ups and downs with this scheme, and it isn’t even in place yet. Previously, people were provided with an extension to the date they must the software by, and now, it turns out many professionals are exempt from having to use it.
The HMRC statement also says: “The government remains committed to delivering MTD for Income Tax Self Assessment and believes this is central to building a trusted, modern tax administration system and supporting small business productivity. The digitalisation of records and tax administration will help businesses to keep on top of their tax affairs, saving them time and reducing errors while, in turn, reducing the tax gap from error and carelessness.”
If you are a landlord who earns more than this, you should be preparing for changes to come from 2026 onwards. You, and all other landlords like yourself, will have to submit summary data to HMRC every quarter. This is a change from submitting everything at once, at the end of the financial year.
There is also a need to make this submission via specialist software, so there are a couple of significant changes landlords must familiarise themselves with. You have a few years before this comes into effect, but with 2024 just around the corner, it is not as though 2026 is too far away.
As always, if you’re a landlord looking for help in staying up to speed with regulations, we are always here to guide and assist you. Tax is particularly taxing for many professionals, not just landlords, but our work with a significant number of letting industry professionals helps us provide you with information you can trust and rely on.
We are always here to help
Many landlords struggle with paperwork, and staying on top of legislation, but we are here to assist you, ensuring your tenants receive everything they need in your rental property. if you are looking for guidance on the Leytonstone rental market, or you just want a helping hand in complying with rental market regulations, we are always here to assist you.
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