Quarterly updates: what practices need to brief clients on

What is sent

• Totals for each income and expense category used for self-employment and property.
• HMRC does not receive individual receipts or invoices.
• Each update covers from the start of the tax year to the end of the update period (cumulative), so corrections flow into the next send.
• No accounting or tax adjustments are required before sending a quarterly update.
• Nil updates are still required if there was no income or expenses in the period.

Standard vs calendar periods

Deadlines are the same; coverage dates differ:

Calendar periods must be selected in software before the first update. You cannot change the period type for a tax year after an update has been sent.

Soft landing: 2026 to 2027

GOV.UK states HMRC will not apply penalty points for late quarterly updates during 2026 to 2027. Quarterly updates are still required before the tax return can be submitted. Late tax return penalties still apply.

Joint property note

For jointly let properties, updates can include income and expenses, or income only. If expenses are omitted, they must be reported after year-end by resending the fourth update before the return.

Rolling this out across your client list?

The Practice Rollout Checklist covers the whole client base: segmenting clients by start date, agent authorisations, software, onboarding, fees and engagement letters, and a client communications timeline. 6-page PDF, instant download. The Sole Trader Readiness Checklist is the 4-page version for sole traders and landlords.

Practice checklist · £19 Sole trader checklist · £9

Source: https://www.gov.uk/guidance/use-making-tax-digital-for-income-tax/send-quarterly-updates
Related: deadline calendar