No. Making Tax Digital for Income Tax doesn’t apply to limited companies, and it doesn’t apply to partnerships yet. It applies to individuals: sole traders and landlords who are registered for Self Assessment.
There’s one catch. If you’re a company director or a partner and you also have your own self-employment or rental income, that income can still bring you into Making Tax Digital.
Who Making Tax Digital for Income Tax applies to
| Who | MTD for Income Tax? | Why |
|---|---|---|
| Sole trader | Yes, if qualifying income is over the threshold | Self-employment income counts |
| Landlord who owns property in their own name | Yes, if qualifying income is over the threshold | Rental income counts |
| Limited company | No | Companies pay Corporation Tax, not Income Tax |
| Company director, salary and dividends only | No | Wages and dividends don’t count as qualifying income |
| Company director with their own rental or self-employment income | Yes, if that income is over the threshold | The personal income counts, not the company’s |
| Partnership | Not yet | GOV.UK says partnerships will join in the future, with no date given |
| Partner with their own rental or self-employment income | Yes, if that income is over the threshold | Your share of partnership income doesn’t count, but your own income does |
The thresholds are £50,000 from 6 April 2026, £30,000 from 6 April 2027 and £20,000 from 6 April 2028. Use our MTD threshold checker to see where you stand.
Does Making Tax Digital apply to limited companies?
Not for Income Tax or Corporation Tax. A limited company pays Corporation Tax on its profits, and there is no Making Tax Digital for Corporation Tax. HMRC confirmed in its Transformation Roadmap on 21 July 2025 that it does not intend to introduce one.
A limited company that is VAT registered does have to follow Making Tax Digital for VAT. That is a separate set of rules from the Income Tax ones this site covers.
What about company directors?
Your salary and dividends from your own company don’t count towards the threshold. If they are your only income, Making Tax Digital for Income Tax doesn’t apply to you.
It changes if you also earn money personally. Rent from a property in your own name, or sales from a sole trader business on the side, do count. If that personal income is over the threshold, you have to join.
Does Making Tax Digital apply to partnerships?
Not yet. GOV.UK says partnerships will need to use Making Tax Digital for Income Tax in the future, but it hasn’t given a date.
Your share of partnership income doesn’t count towards your own threshold. As with directors, any self-employment or rental income you have outside the partnership does count.
Rental property in a limited company
Rent received by a limited company is the company’s income, so it falls under Corporation Tax and stays outside Making Tax Digital for Income Tax. Rent from property you own in your own name is yours, and it counts.
If you own some properties personally and some through a company, only the personal ones count towards your threshold.
Sources: GOV.UK, Check when to sign up for Making Tax Digital for Income Tax, and the Association of Taxation Technicians on Making Tax Digital for Corporation Tax. Checked 5 October 2026. This page is general information, not tax advice.