ApplyFind forout if you can get an exemption from Making Tax Digital for Income Tax
FindCheck outif howyou toget apply for an exemption from Making Tax Digital for Income Tax.Tax and how it applies.
Who is exempt from Making Tax Digital for Income TaxTax
There are different reasons why you may be exempt from Making Tax Digital for Income Tax. For example, you could be exempt if you are digitally excluded.
If you are exempt, you will not have to use Making Tax Digital for IncomeIncome Tax but Tax but you must continue to report your income andand gains gains in aa Self SelfAssessment tax Assessment tax return as normal.
Types of exemptions
IfExemptions youfor areMaking notTax automaticallyDigital exempt,for youIncome needTax tocan applyeither forbe:
automaticanexemptionsexemption—thesearegivenby contactingHMRC basedHMRC.onYouthecandetailsuseinthisyourguidance2024to apply2025fortaxa:- temporary
returnexemptionanduntilyouatdoleastnotAprilneed2027to contactHMRCor submit anapplication - digitally
exemptionsexcludedyouexemptionneedwhichtomayapplybeforpermanent—dependingyouonshouldyourprovide additional informationcircumstances
Before
withyouyourapply,applicationyoutoshouldtellconsiderusyourwhycircumstancesyouandarefindexemptTheseoutexemptions canifeitheryoube:permanentcan—getunlessanyourexemptioncircumstancesfromchangetemporaryMaking— lasting untilTaxAprilDigital2027foratIncometheTax
earliest- temporary
WhoAutomatic can applyexemptions
You
Exemptions canlasting applyuntil foryour ancircumstances exemption yourself.change
You canwill alsonot need to apply for anthe exemptionfollowing onexemptions. These behalfexemptions apply ofpermanently someoneand elsemean you ifwill younot areneed either:
- an
toauthoriseduseagent - a
MakingfriendTaxorDigitalfamilyformemberIncomewithTaxtheirunlessauthorisation
If youyour havequalifying anincome agent,is friend£20,000 or familyless
You memberare applyingautomatically onexempt yourand behalf,do thenot exemptionneed willto stilluse beMaking basedTax onDigital yourfor personalIncome circumstances.
IfTax yourif agentyour qualifying usesincome is compatible£20,000 softwareor toless.
If keepyou do digitalnot recordshave anda National submitsInsurance themnumber
You toare HMRC,automatically theyexempt will beand ablecannot tosign meetup the requirements for Making Tax Digital for Income Tax onif youryou behalf.
Youdo shouldnot speakhave toa yourNational agentInsurance aboutnumber.
Other this,exemptions
These asexemptions youare maypermanent notand needdepend toon applythe personal circumstances forof athe individual.
You digitallyare excludedautomatically exemption.
Ifexempt youand aredo actingnot onneed behalfto ofuse someoneMaking else
IfTax you’reDigital anfor agent,Income youTax must:in your role as a:
- be
personauthorisedfilingtoonactbehalfasofnon-residentcompany trustee,includinga taxcharitableagenttrusteeonorbehalftrusteeof eachnon-registeredclient you’repensionapplying forscheme- apply
personalforrepresentativeeachofclientsomeoneindividuallywhobased on their personal circumstanceshas died
If you’reyou ahave friendyour own self-employment or familyproperty member,income away from these roles, you may still need authorisationto fromuse theMaking personTax you’reDigital applyingfor onIncome behalfTax ofto beforereport youthat apply. Thisincome. canYou beshould work either:
- by
outwritingyourtoqualifyingHMRCincomefor authorisationMaking—TaxyouDigitalwillforneedIncometoTax.Youincludearethealsosignatureautomaticallyexemptifyouare anyof the personfollowing:ayouLloyd’saremember submitting aactingtaxonreturnbehalfinofrelationtoyourunderwritingbusiness- by
notphoningphysicallyHMRCor—mentallythecapablepersonandyouhaveareeither:givenenduringactingpowerofattorneyorlastingpowerofattorneyto someone to actonyourbehalfaofdeputywillappointedneedbytoabeUKtherecourt totoactgiveonverbalyourauthorisationbehalf
This
AutomaticshouldexemptionsbethatgivenlastusinguntiltheAprilcontact2027Youdetailsdoin SelfnotAssessment:needgeneralto use Makingenquiries.Before
TaxyouDigitalapplyforonIncomebehalfTaxofuntil thesomeone2027else,toyou2028shouldtaxmakeyear atsuretheyouearliest,fullyif in yourunderstand2024theirtocircumstances.When
2025totaxapplyreturn you:You
claimedshouldaveragingapplyrelief (forbeforeexample,you,if you’reorathefarmerpersonor creativeyouartist)claimedarequalifyingapplyingcareonrelief (suchbehalfas,of,if you’re a fosterneedscarer ortokinshipusecarer)includedMakingtheTaxSA107Digitalsupplementary pagefortoIncomereport income fromTax.If
trustsyouorareestatesincludedapplyingtheforSA109ansupplementaryexemptionpagebecauseandyou thinkthink it’s likely you’ll includeyouitareagaindigitallyforexcluded,theyou2026shouldtoapply2027fortaxanyear
Ifexemptiononebasedofonthesewhenexemptionsyouapplies, youdonotneed to usecontactMakingorTaxapplyDigitaltofor Income Tax.HMRC.If
You willyou need to use Making Tax DigitalDigital forfor Income TaxTax fromfrom:- 6
theApril20272026to—2028youtaxcanyearapplyonwards ifnow - 6
yourAprilqualifying2027income—isyouaboveshould£30,000applyinfromthesummer2025to2026 onwards - 6
taxAprilyear.If2028 — you shoulddidapplynotfromincludesummerany2027ofonwards
If
these claimsyou’veor pages inalreadyyoursigned2024uptoand2025yourtaxcircumstancesreturn,havebutchanged,you reasonablyyouexpect toshoulddoapplysoforinanyourexemption2026and continue to use2027MakingtaxTaxreturn,DigitalreadfortheIncomesectionTaxonwhilst‘Exemptionsyou waitneedto hearapplyfrom us.for.’If
SA109you’vesupplementarysignedpageYouupshouldvoluntarilyincludeandthethinkSA109you’vesupplementarybecomepageexempt,infindyourout2026what to do2027iftaxyourreturncircumstancesif you’re either a:non-residentchange in UsetheMakingUKTaxinDigitalthatfortaxIncomeyear (includingTax.What
thoseyouentitledneedWhat you need to apply
claimforpersonalanallowancesexemptionbecausedependsofontheiftermsyouofareaDoubleapplyingTaxationforAgreement)residentyourselfinortheapplyingUKoninbehalfthatoftaxsomeoneyearelse.and you’re:If
alsoyouataxthinkresidentyouinareanothercountry- eligible for
foroverseasmultipleworkdayexemptions,reliefandyou shouldexpectsubmittomakea singleclaimapplicationorexplaining why each exemption applies.Applying for yourself
You will need:
- your National Insurance number
election - your
expectingsplitnameyearandtreatmenttoaddressapply eligibleto explainusewhythetemporaryyourepatriationthinkfacilityandyouexpectshouldtobemakeexemptanfromelection toMakingdoTaxsoeligibleDigital for IncometheforeignTax,incomeincludingandanygainsadditionalregimeandinformationexpectto supportmakeyouraapplicationclaim
We
- your National Insurance number
amayformerremittancerequestbasisuseradditionalwhoinformationexpectsto make a decisionclaimonforbusinessyour application.investment relief
If
AutomaticyouexemptionsarethatapplyinglastforbeyondaAprildigitally2027Youexcludedareexemption,automaticallyyouexempt ifalsoyou submitted yourneed2024to tell2025us:taxreturnaseither:- details
anofemployed Minister ofhowreligionyouofcurrentlyanysubmitfaith,areligiontaxorreturndenomination using(includingtheifSA102Msomeonesupplementaryelse helps)page - the
someonereasonwhoyoureceivedthinkoryoutransferredMarriedareCouple’sdigitallyAllowance(forexcluded,thoseincludingbornanybeforeinformation6toAprilsupport this1935) - if
someoneyouwhohavereceivedanoragenttransferredBlind(forPerson’sexample, an accountant) and what the agent will doAllowance - any
aadditionalLloyd’sneedsmember withsoself-employmentweorcanpropertyprovide the right supportincome
Applying
Ifononebehalf of someonetheseelseIf
exemptionsyouapplies, you do notareneedapplyingtoforcontactanHMRCexemptionoronapplybehalfforofansomeoneexemption.Youelse, you will need to provideusetheirMakingdetails.TaxYouDigitalshouldforensureIncomeyouTaxfullyinunderstandthetheirfuture. We’ll setcircumstances.To
outapplytheontimelinetheirforbehalf,this atyou’llaneed:laterdate.- to
Iftell us how you aredidconnectednottoincludetheanyapplicantof(fortheseexample,inifyouryou’re2024theirtoagent2025ortaxareturnpersonalbutrepresentative) - their
you reasonablyNationalexpect toInsurancedonumber - their
sonameinandtheaddress 2026to explain2027whytaxyoureturn,thinkreadthe applicantsectionshouldonbe‘ExemptionsexemptyoufromneedMakingtoTaxapplyDigitalfor’.Exemptions youforneedIncometoTax,applyincludingforDigitally excluded exemptionBeinganydigitallyadditionalexcludedinformationfromtoMakingsupportTaxtheirDigitalapplication
We
formayIncomerequestTaxadditionalmeans it’s notinformationreasonabletoformakeyouatodecisionuseoncompatibleyoursoftwareapplication.to:If
keepyoudigitalarerecordssendapplyingquarterlyforupdatesaor submit yourdigitallytaxexcludedreturn
Thereexemptionare differentforreasons whysomeonethiselse,mayyouapplywill also need to tellyou,us:forexample:- details
yourofage,howhealththeyconditioncurrentlyorsubmitdisabilitystopsyoufromusinga taxcomputer, tablet orreturnsmartphone(includingtoifkeepsomeonedigitalelserecordshelps)or submit themtoHMRC - if
you’re a practisingtheymemberhaveofanaagentreligious(forsocietyexample,oranorderaccountant)whoseandbeliefswhataretheincompatibleagentwithwillusingdo - about
digitalanycommunicationsadditionalorneedskeepingsodigitalwerecords,canandprovideyouthedorightnotsupport
How
usetoaapplyTo
computer,applytabletfororansmartphoneexemption for yourselfbusinessor onpersonalbehalfuse youofcannotsomeonegetelse,internetyouaccessmustateitheryourcallhomeor writebusinessto HMRCbecauseusingoftheyourcontactlocation,detailsandin SelfcannotAssessment:getgeneralaccessenquiries.atasuitablealternativelocation
AgentsHMRC applyingwill onnot behalfaccept ofyour someoneapplication elsefor shouldan useexemption theif contactyour detailsonly inreason Agentfor Dedicatedapplying Line: Selfis Assessment orone PAYEof forthe individuals.following:
If
- you write
previouslytofiledus,apaperreturn you’re unfamiliarwithaccountancysoftware- you should
haveuseaonesmallnumberof thedigitalfollowingrecordssubjecttotitlescreateoneachyourtaxletter:year - ‘Making
itTaxwillDigitaltakeforextraIncometimeTaxor—costdigitallyforexcludedyouapplication’toifsignapplyingupfortoaanddigitallyuseexcludedMakingexemption - ‘Making Tax Digital for Income Tax
Tax
There —may exemptionbe application’other ifreasons applyingyou formay anyor othermay exemption
Ifnot abe healthdigitally conditionexcluded. orHMRC personalwill circumstancesconsider makeall itapplications difficulton toa contactcase-by-case us,basis.
You youcan apply canfor findan outexemption howfor to getMaking helpTax fromDigital HMRCfor Income Tax if you needthink extrayou support.are digitally excluded.
After
If you have applied
HMRCan willagent, aimfriend toor respondfamily withinmember 28applying calendaron days of receiving your application.behalf, Itthe mayexemption takewill longerstill ifbe webased needon youyour topersonal provide more information.circumstances.
You
If you’re exempt shouldfrom readusing about the steps for Making Tax Digital forcompatible Incomesoftware Taxfor —VAT thisreturns
You willshould helpcontact Self youAssessment: preparegeneral toenquiries by signphone upor andin usewriting it, if yourHMRC applicationpreviously isconfirmed you’re exempt notfrom accepted.sending YouVAT mustreturns alsousing continueMaking keepingTax recordsDigital orcompatible supportingsoftware documentsbecause you’re digitally likeexcluded.
You’ll need youto normallytell do for Self Assessment.us:
When
yourreviewingNationalInsurancenumber- your application,
VATweregistrationmay:number - verify the information
reason you’re digitallyyouexcludedhavefromprovidedsendingtoVATconfirmreturnsitusingisMakingaccurate - ask
TaxyouDigitalforcompatiblemoresoftware,information,andif weyourneedcircumstancesanyhavechanged
We’llIf thenyour sendcircumstances youhave not achanged, we’ll confirm letterthat you’re also confirmingexempt iffrom yourMaking applicationTax Digital for anIncome exemptionTax. hasIf beenthey acceptedhave orchanged, you’ll need not,to andapply whatfor youan needexemption.
If toyour doVAT next.exemption is due to insolvency
If youyour receivedVAT aexemption decisionis beforebecause you’re going 1through Aprilan 2026,insolvency itprocedure and tookyou legalare effectsigned fromup 1to Making AprilTax 2026.
IfDigital HMRCfor acceptsIncome yourTax, you application
Thewill letternot willbe explainexempt theand typeshould ofcontinue exemptionto anduse howthe longservice.
Exemptions that itlast until willApril last.2027
If youone areof exemptthese untilexemptions Aprilapplies 2027,to you, you willdo not need to sign up andfor use Making Tax Digital for Income Tax until the 2027 to 2028 tax yearyear at at the earliest.earliest.
WhilstIf your qualifying income is more than £30,000, you arewill exemptneed duringto use Making Tax Digital for Income Tax from the 20262027 to 20272028 tax year,year youonwards.
You will remainneed onto theapply currentfor latean paymentexemption andif lateyour filing2024 penaltiesto for2025 Selftax Assessment.
Youreturn candid findnot outshow morethe informationfollowing, onbut penaltiesyou reasonably forexpect your Making2026 Taxto Digital2027 fortax Incomereturn Tax.to include either:
If
a HMRCclaim doesfor notaveraging acceptrelief (for yourexample, applicationif you’re anda youfarmer disagreeor withcreative theartist)
a decision
Ifclaim yourfor qualifying applicationcare relief (such isas, notif accepted,you’re youra decisionfoster lettercarer willor explainkinship whycarer)
Whenreport youincome mustfrom appealtrusts dependsor onestates
If2026 youto received2027 atax decisionyear — you beforecan 1read Aprilthe 2026
Youreasons mustfor appealusing byan 30SA109 Aprilin 2026.
WeIf startedyou included any reviewingof these appealsclaims or onpages in 1your April2024 2026.
Ifto you2025 receivetax areturn, decisionread the section on or‘Automatic afterexemptions 1that last until April 2026
You canshould appealapply upfor an exemption if you have a good reason to 30think daysyou afterwill theinclude dateany onof thethis letter.information in your 2026 to 2027 tax return.
If you needare morea timenon-UK toresident appeal:foreign entertainer or sportsperson
- if
Youyou’rewillappealingneedtoapplyfor yourselfanorexemption,onevenbehalfifofyouaincludedfriendthisorincomefamilyinmemberyourcall2024ortowrite2025to HMRC - if
taxyou’rereturn.YouancanagentapplyapplyingforonanbehalfexemptionofforsomeoneMakingelseTaxcontactDigitalHMRCforIncomeTax
Exemptions that last beyond April 2027
You will need to sendapply for an exemption if your appeal2024 into writing2025 and:
- use
taxthereturntitledid‘MakingnotTaxshowDigitaltheforfollowing,IncomebutTaxyou reasonably—expect yourdigitally2026excludedtoappeal’2027fortaxareturndigitallytoexcludedshowexemptionthatappeal - use
antheemployedtitleMinister‘MakingofTaxreligionDigitalofforanyIncomefaith,Taxreligion—orexemptiondenomination usingappeal’theforSA102Manysupplementaryother exemption appealpage - send
someoneitwhotoreceivedtheoraddresstransferredMarriedprovidedCouple’sinAllowance(foryourthosedecisionbornletterbeforeand6includeAprilany1935) someonenewwhoinformationreceivedyouorwanttransferredBlindusPerson’sto considerAllowance
If youone haveof notthese doneexemptions soapplies already,to you, you shouldwill readneed aboutto the stepsuse for Making Tax Digital for Income Tax to helpin the future. We’ll set out the timeline for this at a later date.
You should not apply for an exemption if you preparedo not have a good reason to signthink upyou andwill useinclude it,any ifof this information in your appeal2026 isto not2027 accepted.tax Youreturn.
If mustyou alsoincluded continueany keepingof recordsthese orclaims or supportingpages in documentsyour like2024 youto normally2025 dotax return, read the section on ‘Automatic exemptions’.
You can apply for Selfan Assessment.exemption for Making Tax Digital for Income Tax.
Updates to this page
6January2026Theupdatedguidanceexplainsthat ifyou’reexemptfromsendingVATreturnsusingMakingTaxDigitalcompatiblesoftwarebecauseyou’regoingthroughaninsolvencyprocedure,andyou are exempt,signeduptoMakingTaxDigitalforIncomeTax,you will remainnotonbeexemptandshouldcontinuetousethe currentservice.29lateSeptemberpayment2025Theandguidancefilinghaspenaltiesbeenupdatedtogivemoreinformationaboutwhatbeingdigitallyexcludedmeansfor SelfMakingAssessment.TaxDigitalforIncomeTax.It has also been updated to clarifyincludethatinformationyouaboutmusthowcontinue to keepcontactrecordsusorifsupportingyou'redocumentsexemptfromusingMakingTaxDigitalcompatiblesoftwarefor SelfVATAssessmentreturns.11asAugustnormal2025Ififyou'reyourexemptfromsendingonlinereturnsforMakingTaxDigitalforVAT,youshouldcontactHMRCwhentheexemptionsapplication orprocessappealopensforMakingTaxDigitalforIncomeTax.IfyourVATexemptionisduetoyourinsolvency,you'renot accepted.exemptfromMakingTaxDigitalforIncomeTax.-
29 16JanuaryOctober20262024Informationaboutwhoisautomaticallyexempthasbeenadded. 11February2022ThereasonsforwhentoapplyforanexemptionfromusingMakingTaxDigitalforIncomeTaxhavebeenclarified.15October2021Added translation
23September2021Firstpublished.