Landlord Tax Payment Dates 2027: January and July Deadlines for 2026/27

The 2027 landlord tax payment calendar

For most individual UK landlords, 2027 has two main Income Tax payment dates: 31 January 2027 and 31 July 2027. These dates apply whether your rental income is reported through traditional Self Assessment or through Making Tax Digital for Income Tax.

The 2026/27 tax year itself runs from 6 April 2026 to 5 April 2027. The final return or MTD final declaration for that year is not due until 31 January 2028.

What is due on 31 January 2027?

31 January 2027 can be the heavy cash-flow date because it may combine two separate amounts. First, you pay any remaining Self Assessment tax for 2025/26. Second, if payments on account apply, you also pay the first instalment towards your estimated 2026/27 tax bill.

This is why many landlords feel January is more painful than July. July normally has just the second payment on account, while January can include the previous year’s balancing payment as well.

If you want a deeper guide to the mechanics, see payments on account deadlines for landlords.

• Balancing payment: the remaining tax due for 2025/26 after any payments already made.
• First payment on account: normally half of the relevant previous year’s Self Assessment tax bill.
• Payment deadline: by midnight on 31 January 2027.

What is due on 31 July 2027?

31 July 2027 is normally the second payment on account for 2026/27. If your first payment on account was £3,000 in January, your second payment on account will usually also be £3,000 in July, unless you have successfully reduced the payments.

This July payment is still provisional. Your true 2026/27 tax position is only finalised when you complete the 2026/27 return or MTD final declaration by 31 January 2028.

• The July payment is normally the same amount as the January payment on account.
• It is not a separate tax charge; it is a second instalment towards the same tax year.
• If your 2026/27 bill is higher than both payments on account combined, the difference is due by 31 January 2028.
• If your 2026/27 bill is lower, you may be due a refund or have less to pay.

How HMRC calculates landlord payments on account

Payments on account are normally based on the previous year’s Self Assessment tax bill after tax deducted at source. Each instalment is usually half of that amount.

For 2027 planning, that means your payments on account for 2026/27 are normally based on your relevant 2025/26 Self Assessment tax bill. They are not automatically based on your actual 2026/27 rental profit as it arises.

That lag is where landlords often get caught. A high-profit 2025/26 year can create large 2026/27 payments on account, even if repairs, void periods or mortgage costs mean your 2026/27 profit will be lower.

• Previous relevant Self Assessment tax bill: £6,000.
• First payment on account due 31 January 2027: £3,000.
• Second payment on account due 31 July 2027: £3,000.
• Any extra 2026/27 balancing payment: due by 31 January 2028.

When a landlord does not have to make payments on account

Not every landlord has January and July payments on account. HMRC’s normal rule removes payments on account where the previous year’s relevant Self Assessment tax due was less than £1,000, or where more than 80% of the tax due was paid outside Self Assessment.

This can matter for landlords with a small rental profit and a PAYE job, where most tax is already collected through the tax code. It can also matter for first-time landlords who have not filed a previous Self Assessment return for the relevant year.

• No payments on account are normally required if the relevant previous year’s Self Assessment tax due was less than £1,000.
• No payments on account are normally required if more than 80% of the tax due was paid outside Self Assessment.
• PAYE tax collected through employment can count as tax paid outside Self Assessment.
• If payments on account do not apply, the landlord usually pays any balancing amount by the following 31 January.

MTD in 2027: filing changes, but payment dates stay January and July

Making Tax Digital for Income Tax starts for landlords and sole traders with qualifying income over £50,000 on their 2024/25 tax return from 6 April 2026. It then extends to qualifying income over £30,000 based on the 2025/26 return from 6 April 2027, and over £20,000 based on the 2026/27 return from 6 April 2028.

For landlords, qualifying income means gross rental income before expenses, combined with gross self-employment income where relevant. A landlord receiving £35,000 of rent before agent fees and repairs may therefore be over the 2027 MTD threshold even if their taxable profit is much lower.

MTD quarterly updates are summaries of income and expenses. They do not create quarterly tax payments. The final tax calculation still feeds into the January Self Assessment payment timetable.

• MTD from 6 April 2026: qualifying income over £50,000 on the 2024/25 return.
• MTD from 6 April 2027: qualifying income over £30,000 on the 2025/26 return.
• MTD from 6 April 2028: qualifying income over £20,000 on the 2026/27 return.
• Qualifying income is gross income before expenses, not rental profit.

Reducing payments on account if your 2026/27 tax bill will be lower

If you expect your 2026/27 tax bill to be lower than the previous year, you can ask HMRC to reduce your payments on account. This is done through HMRC’s SA303 process or the equivalent online Self Assessment route.

Typical landlord reasons include a long void period, a major allowable repair, a property sale part-way through the year, lower rent, or a change in employment tax deducted through PAYE.

The deadline to claim a reduction for the 2026/27 year is 31 January 2028. You should not reduce payments casually: if you reduce them too far and the final tax bill is higher, HMRC can charge interest on the shortfall.

• Use a realistic estimate of your total 2026/27 Self Assessment liability.
• Include rental income, other Self Assessment income and tax already deducted.
• Keep evidence for why the reduction was reasonable.
• Review the position before the 31 July 2027 second payment.

Step by step

1. 1

   Check your 2025/26 Self Assessment statement

   Find the relevant Self Assessment tax due after tax deducted at source. This is the starting point for your 2026/27 payments on account.

2. 2

   Confirm whether payments on account apply

   Check the £1,000 and 80% tests. If the previous year’s relevant tax due was below £1,000, or more than 80% was paid outside Self Assessment, payments on account may not be required.

3. 3

   Use the calculator above for a 2026/27 sense-check

   Estimate your 2026/27 rental tax bill using the free tool above. This helps you see whether HMRC’s January and July payments are likely to be too high, too low or broadly right.

4. 4

   Set aside money for 31 January and 31 July

   Budget separately for the 31 January 2027 and 31 July 2027 payments. Do not wait until your final 2026/27 return is due.

5. 5

   Reduce payments only if the estimate supports it

   If your 2026/27 tax bill is expected to fall, use HMRC’s SA303 route or online Self Assessment to claim a reduction. Keep the calculation and evidence.

6. 6

   Reconcile everything by 31 January 2028

   File the 2026/27 Self Assessment return or MTD final declaration and pay any remaining balancing amount by 31 January 2028.

A worked example

A landlord’s 2025/26 Self Assessment tax bill after tax deducted at source is £6,000. Payments on account are required, so the 2026/27 payments are normally split into two equal instalments.

This shows why 2027 payments are provisional. If the final 2026/27 bill is more than £6,000, the extra is due by 31 January 2028. If it is less, the landlord may have overpaid.

Frequently asked questions