MTD first quarterly update: what the 7 August deadline covered

What the update actually is

A quarterly update is a summary of your business income and allowable expenses for the quarter, totalled by category and sent from HMRC-recognised software. It is not a tax return, not a payment, and not final, the numbers roll forward and get finalised later. See our what you actually send HMRC each quarter guide for the detail.

The figures to have ready

• Total business income for 6 April – 5 July.
• Allowable expenses, totalled by category (the standard self-employment categories), see allowable expenses.
• For landlords: property income and expenses, kept separate from any trade.

If your records are up to date, this is a few totals, not a project. If they aren't, that's the real work, and the reason the record-keeping habit matters more than the software.

The dates that now run your year

• 7 August, Q1 (6 Apr – 5 Jul) · 7 November, Q2 · 7 February, Q3 · 7 May, Q4
• Separately, a year-end final declaration replaces Self Assessment once you are in MTD. For income first mandated in 2026/27 the first one is due 31 January 2028 (you still file an ordinary Self Assessment by 31 January 2027).

Not sure whether, or when, MTD applies to you? Run the free MTD for Income Tax deadline checker (no signup), or read does MTD apply to me?

First-year grace (2026/27)

HMRC has confirmed a soft landing: no late-submission penalty points for quarterly updates during 2026/27 for the first wave. You still keep digital records and send the updates, you just won't collect points for lateness this first year. It's breathing room, not a pass. Full penalty detail is in our deadlines & penalties guide.

Reading this after the date has passed? missed the 7 August deadline? what to do now.

Checklist for 7 August

1. Confirm you're in scope (deadline checker above).
2. Make sure you have HMRC-recognised software that can file the update (free options exist on GOV.UK's list), see Cheapest MTD accounting software, compared.
3. Bring your 6 Apr – 5 Jul income and expenses up to date and categorised.
4. Send the update from your software as soon as you can.
5. Keep the submission confirmation (screenshot or email) in your records.

FAQ

What do I actually submit for the first MTD quarterly update?

A summary of your business income and allowable expenses for the quarter (6 April to 5 July), totalled by category, sent from HMRC-recognised software. It is not a tax return, not a payment, and not final, figures roll forward and are corrected in the final declaration.

When exactly is it due?

7 August, for the quarter 6 April to 5 July, if you were mandated into MTD for Income Tax from April 2026 (qualifying income over £50,000). The following deadlines are 7 November, 7 February and 7 May.

What happens if I'm late this first year?

HMRC has confirmed a soft landing: no late-submission penalty points for quarterly updates during 2026/27 for the first wave. You still must send the update before your final declaration, treat the grace as breathing room, not a pass. Always check current GOV.UK guidance for your situation.

Do I pay any tax on 7 August?

No. Quarterly updates are information only, there is no payment attached. Your payment dates are unchanged (the 31 January balancing payment, and payments on account in July if they apply to you).