All Blog Posts

Under MTD, each joint property owner is treated as a separate taxpayer with individual reporting obligations. Each co-owner must maintain digital records, submit quarterly updates, and file their annual tax return independently, regardless of shared ownership. This ensures that each owner’s income and expenses are accurately reported, preventing errors and penalties.

The Private Rented Sector Ombudsman, starting in 2026, will offer tenants a binding, impartial process to resolve complaints against landlords. This will improve transparency and ensure landlords handle issues professionally. The scheme aims to enhance tenant satisfaction and housing conditions.

The right MTD software should fit your client base and workflows, reducing manual tasks. Property-specific solutions enhance accuracy and protect profitability as your practice grows. Standardizing software early helps meet deadlines and frees up time for higher-value advisory work.

MTD requires sole traders and landlords earning over £50,000 to use HMRC-recognised software for recording all income and expenses digitally. Generic invoice generators won't meet compliance standards, as they lack HMRC connectivity and automatic categorisation.

From May 2026, the Renters’ Rights Act 2025 ends Section 21 evictions and increases enforcement against landlords. Civil penalties can reach £40,000, with councils given wider powers to act against serious or repeat breaches. New registration and redress rules may restrict possession rights where landlords fail to comply.

Capital expenditure in property businesses cannot be deducted from rental profits. It includes costs like buying land, building structures, and improving properties. However, certain capital allowances, such as for plant and machinery, or relief for replacing domestic items, may offer tax relief over time.