MTD quarterly updates explained: what you send and when
18 October 2026 · 6 min read · Checked against GOV.UK 16 October 2026
What a quarterly update is
Under Making Tax Digital you keep your records in software as you go. Four times a year, the software adds them up and sends HMRC the totals: how much came in, and how much you spent under each of HMRC's headings, such as vehicle and travel costs, or stock and materials.
You don't send receipts or individual transactions, and you don't pay anything when you send an update. HMRC uses the figures to show you an estimate of your tax so far.
The four deadlines
Most people use standard periods, which follow the tax year from 6 April. Each update covers the year so far:
| Update | Covers (standard periods) | Due by |
|---|---|---|
| 1st | 6 April to 5 July | 7 August |
| 2nd | 6 April to 5 October | 7 November |
| 3rd | 6 April to 5 January | 7 February |
| 4th | 6 April to 5 April | 7 May |
You can choose calendar periods instead, which end on the last day of a month (30 June, 30 September, 31 December, 31 March). The deadlines are the same. Calendar periods suit people whose bookkeeping already runs by month.
If you join MTD on 6 April 2027, your first update is due by 7 August 2027.
Why “cumulative” makes life easier
Because each update covers the whole year so far, you never have to send a separate correction. If you forgot a receipt in the first quarter, add it to your records and it appears in the next update's totals.
Example: a forgotten invoice
What you need to send one
- Software that works with MTD and is connected to your HMRC account.
- Your income and expenses for the year so far, recorded digitally. A bank feed does most of this for you.
- Your costs sorted into HMRC's headings. Smaller businesses can usually send one total for expenses instead.
What happens at the end of the year
After the fourth update you finalise the year by 31 January, adding anything that isn't in your updates, such as other income or reliefs. You pay your tax on the same dates as now: 31 January and, if you make payments on account, 31 July.
Miss an update and penalty points can follow, though not for updates in the 2026 to 2027 tax year. See MTD penalties explained. HMRC's own guide to sending quarterly updates (opens in a new tab) has the full detail.