MTD Landlord Accountant Agent: What You Still Need to Do in 2026/27

Does using an accountant mean you do not have to deal with MTD?

No. If you are in scope for MTD for Income Tax, using an accountant or tax agent does not remove the legal obligation. HMRC allows an authorised agent to act for you, but the records and submissions still relate to your tax affairs.

For 2026/27, you are required to use MTD from 6 April 2026 if you are an individual registered for Self Assessment, receive property income, self-employment income or both, and your qualifying income is over £50,000. Qualifying income means gross income before expenses, not taxable profit.

The threshold falls to over £30,000 from 6 April 2027 and to over £20,000 from 6 April 2028. Those later thresholds matter if your rental income is below £50,000 now but above £30,000 or £20,000.

• Your agent can sign you up if you give permission.
• Your agent can use compatible software on your behalf.
• You still need to supply bank, rent, expense and letting-agent information on time.
• You still need to check the figures before submission where your agent asks you to approve them.
• You still pay the tax, interest and any penalties due.

What can your accountant or tax agent do for MTD?

A properly authorised agent can handle most of the compliance process. HMRC’s agent guidance says agents may help clients work out qualifying income, create or use an Agent Services Account, add client authorisations, choose compatible software, sign clients up and use MTD on their behalf.

For landlords, the key distinction is between a main agent and a supporting agent. A main agent can fully manage most of your MTD Income Tax account. A supporting agent has a narrower role, often used where a bookkeeper deals with quarterly updates while an accountant finalises the annual tax return.

You can have one main agent and any number of supporting agents for MTD Income Tax. If more than one agent is involved, you need a clear handover so that one combined update is sent for each period.

• A main agent can usually manage quarterly updates and submit the MTD tax return.
• A supporting agent may be used for tasks such as preparing or sending quarterly updates.
• A main agent cannot set up your Direct Debit or change how HMRC contacts you.
• Existing Self Assessment authorisations may be recognised, but your accountant must still check the authorisation is correctly attached to their Agent Services Account.

What must landlords still give their accountant?

MTD is not just four filing dates. The real work is keeping digital records of property income and expenses throughout the year. Your accountant cannot create accurate MTD submissions from a shoebox of receipts in January 2028.

Your digital records should capture the income and expense information needed for the same property categories used in Self Assessment. HMRC receives totals in the quarterly update, not copies of individual receipts or invoices, but you still need the underlying evidence if HMRC asks.

If you use a letting agent, be careful with net statements. If the tenant pays £1,000 rent and the letting agent deducts £180 fees before paying you £820, your gross rental income is still £1,000 and the £180 is a rental expense.

Software can make this much easier by connecting bank feeds, storing records and letting your accountant review the numbers. See MTD bank feeds for landlords if you want a smoother handover each quarter.

• Rent due or received, depending on your accounting basis.
• Letting-agent statements showing gross rent, deductions and net payments.
• Repairs, insurance, service charges, ground rent and licence costs.
• Mortgage interest and finance costs, separated from capital repayments.
• Mileage, home office costs or other landlord admin expenses where relevant.
• Evidence for deposits, void periods, bad debts and major works.

MTD deadlines when an accountant files for you

Your accountant can send the quarterly updates, but you should still diarise the deadlines. Quarterly updates are summaries, not final tax returns, and HMRC says no accounting or tax adjustments are needed before sending them.

For the first MTD year, the 2026/27 quarterly update deadlines are 7 August 2026, 7 November 2026, 7 February 2027 and 7 May 2027. The tax return for 2025/26 is still filed the usual way by 31 January 2027. Your first MTD tax return, for 2026/27, is due by 31 January 2028.

HMRC will not apply penalty points for late quarterly updates in 2026/27. That is a soft landing for quarterly update penalties only. You still need to send all quarterly updates before the MTD tax return can be submitted, and penalties can still apply for a late tax return or late tax payment.

For a full date-by-date view, use the 2026/27 MTD quarterly deadline calendar.

How to split the workload with your accountant

The best setup is boring: one system, one timetable and one named person responsible for each task. MTD goes wrong when landlords assume the accountant has the data, while the accountant assumes the landlord has uploaded it.

Agree a monthly handover, not a quarterly panic. If you send rent statements, bank feeds and expense evidence monthly, the quarterly update becomes a review step rather than a forensic reconstruction.

Ask your accountant whether they want you to use their software, your own landlord software, a spreadsheet plus bridging software, or a combination. HMRC says MTD software must create digital records, send quarterly updates and submit the tax return, so check the whole workflow, not just the quarterly filing feature.

• Agree who chooses and pays for the MTD-compatible software.
• Confirm whether you or the accountant will authorise the software with HMRC.
• Set a monthly cut-off date for uploading records.
• Decide who reviews uncategorised bank transactions.
• Agree how you will approve quarterly updates before submission.
• Keep a record of what was submitted and when.

Common mistakes when landlords rely on an accountant

The biggest mistake is thinking “my accountant does my tax” means “I do not need to change anything”. Under MTD, the quality of your in-year records matters much more because updates are sent during the year rather than everything being reconstructed after 5 April.

Another common error is giving the accountant only net rent received after letting-agent deductions. That understates both gross income and expenses, and it can lead to the wrong MTD threshold decision.

Finally, do not assume your current Self Assessment software is automatically MTD-ready. HMRC says you should check that software works for MTD Income Tax and meets your needs.

• Using net rent instead of gross rent for the threshold.
• Leaving receipts until the end of the year.
• Assuming a letting agent is authorised to file MTD updates.
• Not telling the accountant about self-employment income that affects the threshold.
• Forgetting foreign property income, which may need separate reporting.
• Missing the 2025/26 Self Assessment deadline because attention has moved to MTD.

Step by step

1. 1

   Check whether you are in MTD for 2026/27

   Add your gross UK property income, foreign property income and self-employment income before expenses. If the total qualifying income is over £50,000, MTD applies from 6 April 2026.

2. 2

   Choose who will be your main agent

   Ask your accountant whether they will act as your main MTD agent. If you also use a bookkeeper, decide whether they will be a supporting agent for quarterly updates.

3. 3

   Complete agent authorisation

   Your accountant needs the correct HMRC authorisation through their Agent Services Account. Existing Self Assessment authorisations may be recognised, but they should still check the setup before deadlines approach.

4. 4

   Choose MTD-compatible software

   Agree whether records will sit in your software, your accountant’s software or connected spreadsheet/bridging software. The system must support digital records, quarterly updates and the MTD tax return.

5. 5

   Set a quarterly evidence routine

   Send letting-agent statements, bank feeds, invoices and receipts monthly. Make sure gross rent and expenses are recorded separately, not just the net payment received.

6. 6

   Approve submissions and pay on time

   Ask your accountant for a clear approval process before each quarterly update and the final MTD tax return. Remember that the landlord remains responsible for payment of tax by the due date.

A worked example

Ravi owns two buy-to-let flats personally. A letting agent collects the rent, deducts management fees and pays Ravi the net amount. Ravi’s accountant will handle MTD, but the threshold test still uses gross rent.

Ravi is in MTD for 2026/27 because his qualifying property income is £60,000, not the £54,000 net cash received and not the rental profit after expenses. His accountant needs the letting-agent statements so the £60,000 gross rent and £6,000 fees are recorded separately.

Frequently asked questions