Property income, made simple

If you receive rental income, Making Tax Digital for Income Tax is already changing how you report it. It is live now, from 6 April 2026, for landlords whose qualifying income is over £50,000, moving you to quarterly digital updates instead of a single annual return. The threshold then drops to £30,000 from April 2027 and £20,000 from April 2028, so most landlords will be brought in over the next couple of years. One crucial point most people miss: the threshold is based on your GROSS rental income, the total rent you receive before any expenses, mortgage interest or agent fees are deducted, not your profit. And if you also have any self-employment income, the two are added together to test the threshold. Reassuringly, employment wages, dividends, pensions and savings interest do NOT count towards it, only your rental and any self-employment income do. It still catches far more landlords than they expect, so getting set up properly now means no scramble as it widens.

We help landlords get ready ahead of time, so it is simply business as usual when it lands.

For most landlords, FreeAgent is hard to beat, it is straightforward, cost-effective, and handles multiple properties under one subscription. It is also free with a Mettle, NatWest, RBS or Ulster Bank account.

For larger portfolios, or where you work with a letting agent, Xero can be the stronger choice because of how it connects with property management tools (more on that below).

It is also worth watching Sage. While others added property features piecemeal, Sage has quietly pulled everything into one place, accounting, MTD compliance, real-time portfolio dashboards and accountant collaboration, with property management integrations available on top. If you want one connected system rather than several bolted together, it is increasingly worth a look.

Here is something very few landlords, and surprisingly few accountants, are thinking about yet. If you use a letting agent or property manager, many of their software platforms now integrate directly with accounting software, so rent received, statements and invoices can flow straight through automatically, with no manual re-keying.

With MTD now rolling out across property income, embracing these integration opportunities can save real time and reduce errors. Where there is no direct integration, your agent's statements can still be brought in (forwarded or entered as recurring entries). But choosing software that connects with your agent's system is worth considering from the very start, and we can help you get it right.

Property income often comes with layers, several properties, mortgage interest, agent fees, repairs, insurance. Keeping it all in one clean, well-structured record is what makes MTD painless and your tax position clear.

And as with any business, if you ever switch software, make sure your full history is retained, you do not want gaps in your records if a compliance check ever reaches back.

From MTD for property income to wider tax and reporting changes, a lot is shifting for landlords. We keep a clear, plain-English timeline of the changes coming, with the official sources, so you can see what affects you and plan ahead.

For many landlords, property is part of a bigger picture, building wealth, planning for inheritance, protecting a portfolio for the next generation. When the questions reach into pensions, investments and inheritance tax, we work alongside trusted wealth and financial planning partners, so you get joined-up advice from people who talk to each other.