How to Sign Up for MTD with HMRC: Step-by-Step Guide

Before you can submit quarterly updates under Making Tax Digital for Income Tax, you need to sign up with HMRC. The process is straightforward but there are a few things you need to have ready.

This guide walks you through the entire sign-up process.

What You Need Before You Start

Make sure you have the following:

  • Government Gateway ID and password — this is the same login you use for Self Assessment online
  • National Insurance number
  • Your business start date (for self-employment) or the date you started receiving rental income
  • MTD-compatible software already chosen — HMRC asks which software you will use during sign-up

If you do not have a Government Gateway account, you will need to create one first at gov.uk.

Step-by-Step Sign-Up Process

Step 1: Go to the HMRC sign-up page

Navigate to the HMRC MTD for Income Tax sign-up service. You can find this by searching "sign up for Making Tax Digital for Income Tax" on gov.uk.

Step 2: Sign in with Government Gateway

Use your existing Government Gateway credentials. If you have an agent handling your tax, they can sign up on your behalf using their agent services account.

Step 3: Confirm your details

HMRC will display your name, National Insurance number, and Unique Taxpayer Reference (UTR). Check these are correct.

Step 4: Select your income sources

Tell HMRC whether you have: - Self-employment income - Property income (rental) - Both

You need to select all sources that apply. If you have multiple self-employments or multiple properties, you will need to account for each.

Step 5: Choose your software

HMRC will ask which MTD-compatible software you plan to use. Select from the list of recognised software providers.

Step 6: Confirm and complete

Review your details and submit. HMRC will confirm your sign-up, and you will be ready to start submitting quarterly updates through your chosen software.

Signing Up Through an Accountant

If you have an accountant or tax agent, they can handle the sign-up for you. However, they need specific authorisation:

  • Existing Self Assessment authorisation is not enough — your agent needs separate MTD for Income Tax authorisation
  • Your agent must have an agent services account with HMRC
  • You will need to authorise them specifically for MTD for ITSA

If your accountant asks you to approve a new authorisation request, this is why.

When to Sign Up

If your qualifying income is above £50,000, you should already be signed up. MTD for Income Tax went live on 6 April 2026, and your first quarterly update is due by 7 August 2026.

If your income is between £30,000 and £50,000, you do not need to comply until April 2027, but signing up early and getting familiar with the process is advisable.

Common Issues During Sign-Up

"I do not have a Government Gateway account"

You need to register for one at gov.uk. This can take a few days if HMRC needs to verify your identity by post.

"My details are wrong"

If HMRC displays incorrect information during sign-up, you may need to update your personal details with HMRC before proceeding. Do not complete sign-up with incorrect details.

"I am not sure if I need to sign up"

Check our guide on who needs MTD and MTD exemptions. The key test is whether your qualifying gross income from self-employment and/or property exceeded £50,000 in the relevant tax year.

"My accountant says they will handle it"

That is fine — but make sure they have done it. The obligation is on you as the taxpayer, not your agent. If your agent has not signed you up and you miss a deadline, the penalty falls on you.

After Sign-Up

Once you are signed up, you need to:

  1. Connect your MTD software to HMRC — this is a one-time authorisation step in your software
  2. Start keeping digital records of your income and expenses
  3. Submit your first quarterly update before the Q1 deadline of 7 August 2026

The sign-up process takes about 10 minutes. The important thing is to do it now rather than leaving it until your first deadline is approaching.