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Guidance

Choose the right software for Making Tax Digital for Income Tax

Find out what software you will need to report self-employment and property income to HMRC.

When you need to use software

From 6 April 2026, some sole traders and landlords must use compatible software to report their income using Making Tax Digital for Income Tax.

You should choose your software before you sign up for Making Tax Digital for Income Tax.

What your software will need to do

You, or an agent on your behalf, will need to use commercial software that works with Making Tax Digital for Income Tax to:

  • create, store and correct digital records of your self-employment and property income and expenses
  • send your quarterly updates to HMRC — these are summaries of your self-employment and property income and expenses, they are not tax returns
  • add any other income sources you have and submit your tax return by 31 January the following year

Creating digital records

You only need to create digital records of your self-employment and property income and expenses.

You do not need to create digital records for other income sources, but you must report them on your tax return using your software. This may include income such as from pensions, a share of profit from a partnership as an individual partner, savings or dividends.

You can find out about submitting your tax return using software.

Types of software

There are different types of software to help you use Making Tax Digital for Income Tax. You can get software that either:

  • creates digital records
  • connects to your existing records, such as those held in spreadsheets

Software that creates digital records

This type of software lets you create your self-employment and property digital records by either:

  • linking to your business bank account to import transactions automatically
  • scanning receipts and invoices 
  • manually entering your income and expenses

These software products will usually meet all the requirements and let you:

  • send quarterly updates
  • submit your tax return

Some software that creates digital records also lets you connect to your existing records in other software.

Software that connects to your records

This type of software will connect to existing records kept in spreadsheets or other accounting tools.

It is sometimes referred to as ‘bridging software’.

For example, if you use spreadsheets to record income and expenses, bridging software can connect to them and make your submissions to HMRC.

There are some bridging software products available that let you:

  • send quarterly updates
  • submit your tax return

Choosing more than one product

If you prefer, you can choose to use more than one software product, but you can only use one product for each separate submission that you need to make to HMRC. For example, if you’re a landlord, you cannot use more than one software product to send quarterly updates of your property income or expenses.

You or your agent can use more than one product, for example if you:

  • have more than one income source and want to use a separate product for each one — you’re a builder and a landlord and want to use different products to meet the needs of each business
  • want to use different products for each task — one for creating records and sending your quarterly updates and another for submitting your tax return

If you use more than one product, you’ll need to make sure they can work together to meet all your Making Tax Digital for Income Tax requirements.

How to choose the right software features

After choosing the type of software that’s right for you, check it has all the features you need.

The software product or products that you choose will need to:

  • support all your income sources for Making Tax Digital for Income Tax
  • let you make your submissions to HMRC — to send quarterly updates and submit your tax return
  • allow you to report all your other income sources to complete your tax return
  • work with your accounting period (standard tax year, calendar update periods or neither)

Find out about using standard and calendar update periods.

If your business is VAT registered, you will already be using software to keep digital records and submit your VAT Returns. You should either check if your VAT software will also be compatible with Making Tax Digital for Income Tax or that your chosen software can meet your VAT needs.

You should also consider whether the software:

  • allows multiple agents if you have more than one
  • has HMRC Assist built in — this feature provides feedback and highlights errors for your tax return using: 
    • information in your submissions to HMRC
    • the data HMRC holds
  • offers pricing that suits your budget — free products are available for those with simple tax affairs but there may be limits on how the product can be used, for example they could have a limited number of transactions

If you think your income sources will change

You should check if your software will support that income source in the future. For example, if you’re a landlord but you are thinking of starting a business.

Find the right software

You can use our software finder tool to help:

  • find compatible software that meets your needs
  • search for your existing software to check if it works with Making Tax Digital for Income Tax

You’ll be asked a few questions to get a personalised list of software options.

All software listed has been through HMRC’s recognition process. HMRC does not recommend any product or software provider.

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