ONE IN THREE SIGNED UP: More than 280,000 sign up to HMRC’s Making Tax Digital ahead of first August filing deadline
- Perry Richardson
- 4 days ago
- 2 min read
More than 281,000 self-employed workers and landlords have signed up to Making Tax Digital (MTD) for Income Tax ahead of the first mandatory quarterly filing deadline this summer, according to new figures released by HMRC.
A total of 281,969 people have enrolled in the new digital tax reporting system since it became mandatory for eligible taxpayers from 6 April 2026. HMRC estimates around 864,000 self-employed individuals and landlords fall within the first wave of mandation, meaning roughly one-third of those required to comply have now signed up.
The first quarterly update deadline under the new regime falls on 7 August 2026. HMRC said it expects registrations to continue increasing as that date approaches, drawing comparisons with the earlier rollout of Making Tax Digital for VAT.
An HMRC spokesperson said: “We are encouraging all customers who were required to join Making Tax Digital for Income Tax from 6 April to use the advice on GOV.UK to take that first step and sign up now ahead of the first quarterly update deadline on 7 August.”
HMRC says registrations are rising steadily as the first quarterly update deadline for Making Tax Digital for Income Tax approaches on 7 August.
The spokesperson added that sign-up patterns were broadly in line with expectations seen during the VAT transition programme. HMRC said engagement accelerated significantly closer to the first filing deadline when MTD for VAT was introduced.
Under the MTD for Income Tax rules, affected taxpayers must maintain digital records and submit quarterly income and expense updates using compatible software. HMRC said it has worked with software providers to ensure a range of free and low-cost products are available, particularly for sole traders and landlords who manage their own tax affairs without an accountant.
The department also confirmed that customers who miss the 7 August quarterly update deadline during the 2026-27 tax year will not face financial penalties. Instead, reminder letters will be issued to those who fail to submit on time during the first year of operation.
HMRC said it has written directly to taxpayers believed to be affected by the new rules and urged those still uncertain about their obligations to review the guidance published on GOV.UK. The authority stressed that it remains the legal responsibility of taxpayers to determine whether they fall within the scope of MTD requirements.
The rollout marks one of the largest changes to self-assessment reporting in recent years and is expected to have operational implications for accountants, software providers and self-employed workers across sectors including transport, construction and the gig economy. Taxi drivers and private hire operators who meet the income threshold are among those required to comply with the digital reporting system.
Industry observers will now be watching whether sign-up rates accelerate sharply over the next three months as sole-traders prepare for the first mandatory quarterly submission deadline.
