Who does not have to use Making Tax Digital

An exemption does not mean no tax return: exempt people keep filing Self Assessment as before. It only means you do not have to keep digital records or send quarterly updates.

Exempt without applying

• Your qualifying income is £20,000 or less.
• You did not have a National Insurance number before the start of the tax year.
• You file for a trust, for a non-resident company, or as personal representative of someone who has died.
• You are a Lloyd’s underwriter, a minister of religion, or claim Married Couple’s or Blind Person’s Allowance (for now).
• Someone holds power of attorney or acts as your deputy because you cannot deal with HMRC yourself.

Exemptions you apply for

You can apply as digitally excluded if it is not reasonable for you to keep digital records or use software, for example because of your age, a health condition or disability, a religious belief incompatible with digital communications, or because you cannot get internet access where you live or work.

HMRC will not accept an application only because you filed on paper before, are unfamiliar with software, have few records, or because MTD will cost time or money.

Added at Budget 2026

The government will exempt, until further notice, people eligible for qualifying care relief such as foster carers, non-UK resident foreign entertainers and sportspeople, and expected non-resident customers. The rules will be made before April 2027.