More than 436,000 sole traders and landlords have successfully sent their first Making Tax Digital (MTD) for Income Tax quarterly update and more than 570,000 customers have now signed up to the service.

Sole traders and landlords earning more than £50,000 have been required to keep digital records and send quarterly updates to HM Revenue and Customs (HMRC) since April 2026, with the first update covering the first 3 months of the tax year.

Those who have not sent their update still can and there are no penalty points for late quarterly updates in 2026-7.

Craig Ogilvie, HMRC’s Director of Making Tax Digital, said: "It’s fantastic to see so many sole traders and landlords successfully sending their first quarterly updates. This marks an important milestone in the move to a more modern tax system, with many customers telling us that the process is straightforward and works well through their chosen software.

"If you haven’t yet signed up, now is the time to do so. Taking action now means you stay in control, can make sure your Making Tax Digital for Income Tax details are correct from the start, and have time to choose the software that works best for you, rather than waiting for HMRC to sign you up from September."