Editor's note: This brief was summarised by The Property AI Team from a report by Letting Agent Today. Read the original article for full details.
MTD Confusion Persists Six Months After Mandatory Rollout
Six months after Making Tax Digital (MTD) for Income Tax became mandatory for high-earning landlords, more than half of them do not believe they are in it, according to research from August, a property management platform. The research asked landlords when they thought they had to start using MTD, and separately asked about their gross figures.
What the Research Found
According to August's research, more than half of the landlords surveyed do not believe they are within scope of Making Tax Digital for Income Tax, despite the regime having become mandatory for high-earning landlords six months earlier.
The research asked landlords two separate questions: when they thought they had to start using MTD, and what their gross figures were. The mismatch between landlords' understanding of their obligations and their actual circumstances is the central issue raised by the findings.
Why This Matters for Letting Agents
The research raises the question of whether letting agents should be helping landlords who are struggling with the transition to Making Tax Digital. For agents and inventory clerks working with landlord clients, the findings suggest that a substantial share of affected landlords may not yet have engaged with the requirements.
Letting Agent Today frames the issue around whether agents should step in to assist landlords who are finding the change difficult. The source material does not set out specific figures beyond the finding that more than half of high-earning landlords do not believe they are in MTD, nor does it include named commentary or detailed statistics.
What We Don't Know
The source does not specify the size of the sample, the exact proportion of landlords affected, or the detailed gross figures reported by respondents. It also does not include any named quotes or statements from August or from letting agents. Agents seeking to act on these findings should refer to the original report for full details.
Source: Letting Agent Today