Written by the TaxTune Editorial Team·Reviewed by our qualified accountants·Updated June 2026

What has changed

From 6 April 2026, sole traders and landlords with qualifying income over 50,000 pounds must keep digital records and send HMRC a quarterly update, with a final declaration replacing the old tax return. The threshold falls to 30,000 pounds in 2027 and 20,000 pounds in 2028.

Who it affects

Sole traders and landlords whose gross income (turnover, not profit) is over the threshold. People with both self employment and rental income have the two added together, so more are caught than expect to be.

What you should do

Get onto compatible cloud software now so digital records become a habit before the deadline, rather than a scramble. Check your combined gross income against the threshold for your year.

Our view

This is the biggest change to personal tax admin in a generation. The businesses that move early will barely notice it. The ones that wait until the last quarter will feel it. We set clients up on Xero or QuickBooks and handle the quarterly updates for them.

Common questions

Who does this affect?
Sole traders and landlords whose gross income (turnover, not profit) is over the threshold. People with both self employment and rental income have the two added together, so more are caught than expect to be.
What should I do about it?
Get onto compatible cloud software now so digital records become a habit before the deadline, rather than a scramble. Check your combined gross income against the threshold for your year.
Can TaxTune help me with this?
Yes. Tell us your situation through the quote builder or book a free call, and we will explain exactly what it means for you and handle it if you would like.

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