Missed Your First MTD Deadline? What You Need to Know

The first quarterly deadline under Making Tax Digital (MTD) for Income Tax was 7 August 2026. This was the first reporting deadline for taxpayers who entered the new MTD system from April 2026 and are required to send quarterly updates to HMRC.

If you missed the 7 August deadline, there is no need to panic. HMRC has confirmed that late quarterly updates will not result in penalty points during the 2026–27 tax year. This means that taxpayers who submit their quarterly update late during this first year of MTD will not receive penalty points specifically for missing a quarterly reporting deadline.

However, this does not mean that quarterly updates can simply be ignored. If you were required to submit an update, you should send it as soon as possible and continue keeping your digital records up to date. It is also important to be aware of the next quarterly deadlines so that future updates are submitted on time. While HMRC is taking a more flexible approach to penalties during the first year, the underlying MTD reporting requirements still apply.