This page answers the most common questions landlords have about Making Tax Digital for Income Tax and how SimplifyMTD can help you comply.
- Do I have to use Making Tax Digital?
- HMRC is rolling out MTD for Income Tax in stages. From April 2026, it applies to self-employed people and landlords with income over £50,000. The threshold drops to £30,000 from April 2027 and £20,000 from April 2028.
- Do I still need an accountant to calculate my tax due?
No, and that is exactly why we built SimplifyMTD. Under Making Tax Digital, HMRC calculates your tax automatically based on the income and expense figures you submit. You do not need someone to do that calculation for you anymore. HMRC does it.
What landlords have traditionally paid accountants for — gathering the figures, submitting them to HMRC, and filing the annual return — is now something you can do yourself.
- Is my data secure?
Yes. SimplifyMTD connects to HMRC using their official Making Tax Digital API — the same secure connection used by major accountancy software. When you sign in with your Government Gateway details, that happens entirely on HMRC's own website. We never see your password or login credentials at any point.
Your income figures are transmitted directly to HMRC over an encrypted connection. HMRC calculates your tax entirely on their side — we never store your tax calculation or share your financial data with any third party.
- What if I have both UK and foreign property?
- SimplifyMTD handles both UK and foreign property income in the same platform — you can manage everything in one place. HMRC treats UK and foreign property as separate businesses, so they are submitted as separate quarterly updates.
- What if my income is below £50,000?
- You do not need to use MTD yet, but you can still use SimplifyMTD voluntarily to familiarise yourself with the process before it becomes mandatory.
- Do I have to submit tax returns every quarter?
No. Quarterly submissions are simple income and expense summaries.
HMRC calculates your tax after your Final Declaration, which replaces the Self Assessment return.
- Do I need special software for Making Tax Digital?
Yes. HMRC requires landlords to submit MTD updates using compatible software. Spreadsheets alone cannot submit to HMRC.
SimplifyMTD connects directly to HMRC and submits your updates automatically.
- Can I still use spreadsheets?
Yes. Many landlords still keep their records in spreadsheets.
SimplifyMTD allows you to enter or upload totals from your spreadsheet and submit them to HMRC.
- Can SimplifyMTD be used as Excel bridging software or an Excel bridging tool?
Yes. SimplifyMTD works alongside Excel and other spreadsheet tools, and you do not need separate bridging software to submit to HMRC.
If you keep your income and expenses in a spreadsheet, SimplifyMTD gives you two options:
- Upload your spreadsheet directly — SimplifyMTD reads the totals and pre-fills your submission for the quarter
- Enter your totals manually — simply type in the summed income and expense figures from your spreadsheet
Either way, SimplifyMTD submits your figures directly to HMRC.
- What happens if I miss a quarterly submission?
HMRC plans to use a points-based penalty system for late submissions.
Missing multiple submissions could lead to financial penalties.
- Can I choose how my quarterly periods are spread across the year?
Yes. HMRC offers two schedules: Standard update periods and Calendar update periods.
Standard update periods end on 5 July, 5 October, 5 January and 5 April.
Calendar update periods end on 30 June, 30 September, 31 December and 31 March.
You can choose your schedule in SimplifyMTD under Settings → Property Filing Obligations. UK and foreign property are chosen separately. You can change the choice until HMRC has received your first quarterly update for that property and tax year. After that, it is locked until the next tax year.
- Why can't I change my quarterly schedule any more?
Once HMRC has received your first quarterly update for a property and tax year, your Standard or Calendar choice is locked until the next tax year. This is an HMRC rule, not a SimplifyMTD restriction. You can choose again for the next tax year before you submit the first quarterly update for that year.
- Why can't I change my Standard or Calendar choice for the new tax year — I haven't submitted yet?
The choice for a new tax year only unlocks once every quarterly update for the previous tax year has been submitted to HMRC. This rarely happens in practice because quarters are usually filed in order, but it can come up if you try to file the new year's Q1 before finishing the previous year's Q4. Submit any outstanding prior-year quarters and the new-year choice unlocks immediately.
- Do I need to submit separate reports for each property?
No. Under MTD, income and expenses are normally reported as totals across your UK property business.
Foreign property income is reported separately.
- What is the Final Declaration?
The Final Declaration is the year-end step under Making Tax Digital that replaces the old Self Assessment tax return. After your four quarterly submissions are complete, the Final Declaration is used to confirm, adjust or add any additional income, expenses and reliefs for the full tax year — such as employment income, pension contributions, gift aid donations or personal allowances. HMRC then calculates the tax bill based on everything declared. It must be submitted by 31 January following the end of the tax year.
Final Declaration support in SimplifyMTD is a planned feature, subject to HMRC authorisation, and is not currently available.
While Final Declaration support is not yet available in SimplifyMTD, you can still use the platform for your quarterly updates. The Final Declaration can be completed at year end by your accountant — they can use your downloaded SimplifyMTD records as the starting point, which makes their work straightforward and keeps their fees focused on the year-end advice rather than data entry. If you do not use an accountant, you can use other HMRC-compatible software to file the Final Declaration. Your quarterly submissions remain valid regardless of which route you use.
- What happens after the Final Declaration?
- HMRC calculates your tax automatically
- You receive a final tax calculation
- Any tax owed is due by 31 January following the tax year
- Can I stop using Self Assessment once I move to MTD?
Yes. MTD replaces the Self Assessment tax return for income covered by MTD.
Instead you submit:
- 4 quarterly updates
- End-of-year adjustments
- Final Declaration
- Is the £50,000 threshold per property?
- No. The threshold applies to your total combined income from all property and self-employment, not per property.
- Can I use SimplifyMTD to report Capital Gains Tax?
- No. SimplifyMTD cannot be used to report Capital Gains Tax. You must report Capital Gains Tax directly to HMRC using their online service.
- Can I use SimplifyMTD to report self-employed income?
- No. SimplifyMTD cannot be used to report self-employed income.
- Does SimplifyMTD support cash basis and accruals basis accounting?
- Yes. SimplifyMTD supports both cash basis and accruals basis accounting. If your accounting basis changes, the platform detects the change and adjusts the submission flow so your records stay correct.
- How do I stop filing quarterly returns?
To stop filing quarterly returns under Making Tax Digital, you need to cease your property business with HMRC. This means you have permanently stopped receiving rental income from all properties of that type.
Cessation cannot be completed through SimplifyMTD — it must be registered directly with HMRC via your online account. Once HMRC records the cessation, your future quarterly obligations are automatically removed.
You will still need to complete any quarterly submissions that fall before your cessation date, and you must still submit a Final Declaration for the tax year in which you ceased.
If you need help registering the cessation, contact HMRC on 0300 200 3310 (Monday to Friday, 8am to 6pm).
- What are the reasons to cease a property?
- You should cease a property type when you permanently stop receiving rental income from all properties of that type. Common reasons include selling the property or deciding to stop renting it out. Falling below the MTD threshold is not the same as ceasing your property business. If you are already using MTD and your qualifying income drops below the threshold for three consecutive tax years, you may choose to opt out of MTD — this is separate from cessation. Cessation applies only when you have actually stopped receiving rental income from all properties of that type. If you are unsure which applies to you, check with HMRC. You should not cease if you have a temporary gap between tenants or are carrying out repairs.
- How do I cease my property in MTD?
Cessation must be registered directly with HMRC — it cannot be done through SimplifyMTD. Log into your HMRC online account and follow the steps to cease your property business. If you need help, contact HMRC on 0300 200 3310 (Monday to Friday, 8am to 6pm).
Once you have registered the cessation with HMRC, SimplifyMTD will automatically reflect your updated obligations.
- What does ceasing a property mean in MTD?
- When you click "Cease Property" in SimplifyMTD, you are telling us that you intend to notify HMRC that your property business has ceased. SimplifyMTD cannot cease your property business on your behalf — the cessation must be completed directly with HMRC via their online services.
- When should I cease my property?
- You should only cease a property type when you have genuinely stopped receiving rental income from all properties of that type. Do not use it if you have a temporary gap between tenants.
- What happens to my quarterly obligations after I cease?
- HMRC will automatically remove all future quarterly obligations for the ceased property type. You will still need to complete any outstanding quarters up to the cessation date, and you must still submit your Final Declaration for the tax year.
- Can I still submit my Final Declaration after ceasing?
- Yes — ceasing a property type does not remove your obligation to submit a Final Declaration for the tax year. Final Declaration support in SimplifyMTD is a planned feature, subject to HMRC authorisation, and is not currently available; while support is unavailable, the Final Declaration must be completed through other HMRC-compatible software.
- What if I only stop renting one property but still have others?
- If you still receive rental income from at least one other UK property, you should not cease your UK property business. Cessation applies when you stop receiving income from all properties of that type entirely, not just one.
- I flagged my property as ceased in error — what can I do?
- If you have not yet registered the cessation with HMRC, you can undo it directly in the Property Filing Obligations section of your Settings. If you have already registered the cessation with HMRC, you will need to contact HMRC directly on 0300 200 3310 to have it reversed.
- What if I start renting a property again after cessation?
- HMRC treats this as adding a new property business. You will need to re-register via HMRC online services — this cannot be done through SimplifyMTD. Once registered, HMRC will confirm your new obligations and SimplifyMTD will pick them up automatically.
- How long does it take for the cessation to show in SimplifyMTD?
- Once you have registered the cessation at HMRC online services, it will typically be reflected in SimplifyMTD within a few minutes the next time the app checks your HMRC account.
- What happens to submissions I have already made after ceasing?
- All previously submitted quarters are preserved and remain visible in read-only form. Cessation does not delete or alter any data you have already submitted to HMRC.
- What is the difference between ceasing in SimplifyMTD and ceasing at HMRC?
- Clicking "Cease Property" in SimplifyMTD flags your intention within the app and will prompt you to complete the process at HMRC online services. The cessation is only officially registered when you complete it on the HMRC website — SimplifyMTD cannot do this on your behalf.