Making Tax Digital for Landlords: Digital Tax with a BTL Company

What is Making Tax Digital (MTD)?

Making Tax Digital is a government initiative designed to make tax administration more effective, efficient, and easier for taxpayers. The core principle is the move towards digital record-keeping and online submission of tax information using HMRC-compatible software. (Source: GOV.UK - "Making Tax Digital")

MTD for ITSA: The Current Landscape for Individual Landlords

MTD for Income Tax Self Assessment (ITSA) is the first major phase affecting landlords who own property in their personal names. Key aspects include:

• Phased Rollout:
  • From April 2026: For individuals with a total gross income from self-employment and property exceeding £50,000 per year.
  • From April 2027: The threshold drops to include those with an income over £30,000.
  • From April 2028: The threshold is expected to further reduce to include those with an income over £20,000. (Source: GOV.UK - "One year until Making Tax Digital for Income Tax launches" - [Note: Specific GOV.UK pages often update; the general "Making Tax Digital for Income Tax" overview on GOV.UK will contain the latest official timelines.])
• Requirements: Landlords under MTD for ITSA must keep digital records, use MTD-compliant software for quarterly updates of income and expenses, and submit an End of Period Statement (EOPS) and a Final Declaration annually. (Source: GOV.UK - "How to get ready for Making Tax Digital for Income Tax")

MTD for Corporation Tax: The Future for Limited Company Landlords

While MTD for ITSA targets individuals, MTD will also extend to Corporation Tax for limited companies. Although a precise mandatory start date for all companies is still subject to further government announcements, HMRC has been running a voluntary pilot for MTD for Corporation Tax and plans to mandate it in the future. The government's stated ambition is to digitise business taxation, meaning companies will also eventually need to keep digital records and file their Corporation Tax returns using MTD-compatible software. (Source: GOV.UK - "Making Tax Digital for Corporation Tax consultation" and updates from tax professional bodies like The Association of Taxation Technicians on MTD for CT).

Being proactive and embracing digital accounting practices now will place your limited company in a strong position for future MTD for Corporation Tax requirements.

How GetGround uses MTD-Compliant software to prepare your limited company for accounting and tax

For landlords operating through a limited company, GetGround offers a comprehensive suite of services designed to streamline accounting, ensure compliance, and prepare your business for the digital future, all with MTD-compliant software.

GetGround's specialised accounting and tax services for new and existing limited companies provide a robust foundation for digital record-keeping and tax management. For as little as £29 (+VAT) a month, you can benefit from:

• Complete Limited Company Accounting Services: A holistic approach to managing your company's finances, along with access to mortgage and investment opportunities.
• Annual Accounts Preparation and Filing: Ensuring your statutory obligations are met accurately and on time.
• Corporation Tax Returns: Professional preparation and submission of your company's Corporation Tax returns.
• Full Company Secretarial Services: Including Confirmation Statement and ATED (Annual Tax on Enveloped Dwellings) filing where applicable, taking care of crucial compliance tasks.
• Registered Office and Full Post Management: Providing a professional address and managing your company's official mail.
• Your Own Dedicated Personal Account Manager: Offering personalised support and a single point of contact for your accounting needs.
• Full Support for All Accounting Queries: Expert assistance to help you navigate any financial questions.
• Exclusive Access to GetGround’s Limited Company Specialist Mortgage Brokerage: Helping you find competitive financing tailored to limited company structures.
• Optional Business Account Tailored to Landlords: A UK Business account designed with the specific needs of property investment companies in mind.

Benefits of Using GetGround for Your Limited Company in the MTD Era:

By partnering with GetGround, landlords with limited companies can:

• Embrace Digital by Default: GetGround's platform inherently uses MTD-compliant sofware and digital record-keeping
• Ensure Compliance: Expert handling of annual accounts, Corporation Tax, and company secretarial duties reduces the risk of errors and penalties. (Information on MTD penalties can be found on GOV.UK - "Penalties for not telling HMRC about Making Tax Digital for Income Tax on time")
• Gain Efficiency: Streamlined processes and a dedicated account manager save you valuable time and administrative effort.
• Future-Proof Your Business: By adopting robust digital accounting practices now, your limited company will be well-prepared for the mandatory rollout of MTD for Corporation Tax.
• Access Specialised Expertise: Benefit from services tailored specifically to property investment companies, including specialist mortgage advice.

Making Tax Digital is transforming how all businesses, including property investment companies, manage their tax affairs. For landlords operating through a limited company, proactively adopting digital accounting solutions is key to ensuring long-term compliance and efficiency.

GetGround's comprehensive accounting and tax services for limited companies provide the tools, support, and expertise to navigate the evolving tax landscape with confidence. By streamlining your financial management today, you can position your property business for success in the digital future. 

Disclaimer: This blog post is for informational purposes only and should not be considered as financial or tax advice. Tax laws and MTD regulations are subject to change. Landlords should consult with a qualified tax advisor or accountant for advice tailored to their specific circumstances. Always refer to the official GOV.UK website for the latest information on Making Tax Digital.