If the 7 November deadline for your Making Tax Digital update came and went, you’re not alone, and you’re not in trouble. For this tax year, there’s no penalty for a late quarterly update. You do still need to send it, though. Here’s what that means and how to sort it out in a few minutes.
Who this applies to
You’ve been in Making Tax Digital for Income Tax since 6 April 2026 if your qualifying income on your 2024/25 tax return was over £50,000. Qualifying income is your self-employed turnover plus any rental income, before expenses. Some people have also signed up voluntarily to get ahead.
If that’s you, your second update of the 2026/27 tax year, covering your income and expenses up to the end of September, was due by 7 November. If you’re not in MTD yet, there was nothing to send.
There’s no penalty this year
HMRC’s guidance on penalties for Making Tax Digital for Income Tax is clear: “There are no penalties for missing a quarterly update deadline for the 2026 to 2027 tax year.”
So no points and no fine. Missing 7 November won’t cost you anything.
But you still need to send it
A late update isn’t one you can skip. HMRC says you need to send your quarterly updates before you can submit your tax return using software. So all four updates for 2026/27 have to be in before you do your return.
The easiest thing is to send it now, while it’s on your mind.
How to send a late update in Pulse
It works exactly the same as sending one on time.
- Log in to Pulse and open your MTD screen. Your July to September card will be red and show as Overdue.
- Click the card. Pulse shows the figures it’s about to send, taken from your records. If anything’s missing, close the popup, add it, then open the card again.
- Tick the box to confirm the figures are correct and press Submit to HMRC.
Once HMRC accepts it, you’ll get a receipt with an HMRC reference and the card turns blue. If you have more than one business, check each tab, as each business is sent separately.
Our guide to sending your MTD updates covers this in more detail, and our 7 November step-by-step post has screenshots of each screen.
Your next update includes everything anyway
Each MTD update is a running total for the tax year. In HMRC’s words, each one “covers from the start of the current tax year (6 April) to the end of the update period”.
Your next update, due by 7 February 2027, is for October to December. But its figures run from April, so anything you add to Pulse now, from any month, is picked up.
That doesn’t replace the late one, which you still need to send. It does mean you don’t have to get every penny perfect today. If you spot a mistake later, fix it in your records and it goes into your next update.
What changes from April 2027
If you’ve been using Making Tax Digital since April 2026, late updates start to count from the 2027/28 tax year, which starts on 6 April 2027. Here’s how HMRC’s points system works:
- You get one penalty point for each deadline you miss. It’s one point per deadline, even if you have more than one business.
- When you reach 4 points, you get a £200 penalty, then another £200 for each deadline you miss after that.
- While you’re under 4 points, each point is removed automatically 24 months after the missed deadline.
- Once you reach 4 points, they don’t drop off on their own. To clear them, you need to send everything on time for 12 months and catch up on anything outstanding from the previous 24 months.
Joining in April 2027? At the Budget on 28 October 2026, the government said it won’t give penalty points for late quarterly updates in the 2027/28 tax year to people who join Making Tax Digital in April 2027. You’ll still need to send all four updates before you can send your tax return. There’s more in our post on what the Autumn Budget means for you.
With four updates a year, points can add up quickly. So it’s worth getting into a routine now, while a late update is free.
Your tax return and tax bill still count
This year’s easing is only for quarterly updates. Your 2026/27 tax return is due by 31 January 2028, and under the new rules a missed tax return deadline gets a penalty point.
Paying is separate too. If you owe tax and pay it late, late payment penalties and interest can still apply, whatever has happened with your updates. HMRC charges interest from the first day a payment is late until it’s paid in full.
Let Pulse send the next one for you
If remembering deadlines isn’t your thing, switch on Auto MTD. Pulse emails you your figures first, then sends your update on the 1st of the second month after the quarter ends. For October to December, that’s 1 February, nearly a week before HMRC’s deadline.
You can switch it on from 8 November. Send your late update yourself first, then turn on Auto MTD and Pulse will handle February for you. Read how Auto MTD works.
Not with MalgraBooks yet?
Pulse is recognised by HMRC for Making Tax Digital and works for most sole traders, not just Slimming World consultants. Find your trade to see how it works for you, or view our packages.
Stuck with a late update? Just get in touch through our contact form and we’ll help.
