PHASE 2 · 2027
The £30,000 MTD threshold
Qualifying income over £30,000 brings you into MTD for Income Tax from 6 April 2027.
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What to know
- Phase 2 applies to qualifying income over £30,000 from 6 April 2027.
- It is tested on the 2025/26 Self Assessment return.
- Exactly £30,000 is not over the threshold.
Key dates
| Phase | Qualifying income | From | Tested on |
|---|---|---|---|
| 1 | Over £50,000 | 6 April 2026 | 2024/25 return |
| 2 | Over £30,000 | 6 April 2027 | 2025/26 return |
| 3 | Over £20,000 | 6 April 2028 | 2026/27 return |
The £30,000 MTD threshold FAQs
When does the £30,000 phase start?
6 April 2027.
Which return is tested?
The 2025/26 Self Assessment return.
Is exactly £30,000 caught?
No. The rule is strictly over £30,000.
What if I am between £20,000 and £30,000?
You would join in Phase 3 from 6 April 2028, tested on the 2026/27 return.
Related MTD guides
Sole traders · Landlords · Thresholds · Quarterly updates · Complete guide · Start date · Who it applies to · Final declaration · £30,000 threshold