Landlords across the UK are facing increasing pressure to comply with the planned rollout of Making Tax Digital (MTD). With the next stage of MTD for Income Tax Self Assessment (MTD for ITSA) set to become active in April 2026, the focus now falls on making landlords not just aware of the rules but also equipping them with the proper tools to deal with the digital demands. Some of the most critical tools at their disposal are choosing the right MTD software for landlords—and not doing so can lead to unwanted penalties or compliance charges.
With all the available options in the market, it is important to not only look for MTD-compatible software but also to look for one that has been especially designed to accommodate the requirements of property owners who have rental income. Let’s look closer at what landlords need to know regarding MTD software and why selecting the proper solution is important.
MTD Compliance: What Landlords Need to Know
Making Tax Digital is an HMRC initiative that requires landlords who receive over £50,000 a year in property income to maintain digital records and make quarterly payments. By April 2027, those receiving over £30,000 will also be within the scope of the MTD for ITSA requirement. This will no longer allow spreadsheets or paper records to be enough for the affected landlords.
MTD-compliant software fills this gap by making it simpler to capture income and spending and report it. The software should be able to record electronically, generate summaries, and post directly to HMRC. While HMRC maintains a list of software developers, they don’t all have expertise in software for landlords, and very few are as comfortable with the complexity of rent income as RentalBux is.
The Limitations of Generic MTD Tools
There are a number of MTD general solutions, but they all neglect property-specific needs. They are mostly designed for sole traders or freelance workers and lack rental-specific income categorisation, multiple property support, or automatic rent tracking.
These limits imply that landlords using generic software can be compelled to use workarounds, third-party plug-ins, or even manual entry, which increases the risk of mistakes. Specialised MTD software for landlords such as RentalBux, on the other hand, focuses on the landlord’s business process, ensuring simple property income handling and effortless quarterly submissions without having to change systems.
Why RentalBux Is the Right Fit
RentalBux has been crafted from the ground up with landlords at the center. One of its strongest points is that it offers a dashboard designed to display rental income, tax reminder notifications, and property-specific breakdowns of expense details. This is far more user-friendly than the typical bookkeeping application in which landlords have to manually tinker with categories to fit their property-related finances.
Another critical feature is the manner in which RentalBux manages quarterly reporting. It pre-prepares and formats the necessary reports based on the information already entered into your computerised records, minimising the admin workload and essentially removing the threat of submission errors. It even reminds them of submission deadlines, giving landlords plenty of time to make adjustments if necessary.
RentalBux is also updated regularly in line with HMRC’s evolving MTD requirements, making sure that you always stay compliant with the rules and regulations.
Getting Ready for the 2026 MTD Deadline
The 2026 MTD phase will get thousands of landlords on the digital tax system. Those with income of more than £50,000 must prepare in advance by choosing a quality MTD software package. Even those not yet over the threshold would be prudent to switch early. Early conversion means you have time to adapt to digital record-keeping and avoid any last-minute panic that comes with deadlines being around the corner.
The earlier you begin using a system such as RentalBux, the simpler it will be for you to deal with your records with efficiency. You’ll also prevent the concealed expense of starting over with old instruments or spreadsheets down the road, when time is more restricted.
Conclusion
As HMRC’s digital tax system increases, landlords must prepare accordingly to comply. The right MTD software for landlords is no longer an option—it is a necessity. There are quite a few generic options available, but RentalBux offers a landlord-initiated, bespoke solution that not only complies but also streamlines the whole tax process.
Regardless of the scale of your rental portfolio, one or several properties, having software tailored to your needs is the smart way to stay ahead of the competition. RentalBux makes MTD compliance effortless, giving landlords peace of mind and allowing them to focus their valuable time on building their property portfolios.
