The three core fields
HMRC’s current guidance says a digital income or expense record must include the amount, the date the income was received or expense incurred, and the relevant category. The categories align with those used for Self Assessment.
Create the record as close to the transaction date as possible. The digital records for a quarter need to exist before that update is sent and no later than the quarterly deadline.
Examples of landlord records
| Transaction | Digital detail to keep | Evidence to retain |
|---|---|---|
| Rent received | Date, gross amount, income category | Bank entry, rent statement |
| Repair cost | Date, amount, expense category | Invoice, receipt, payment record |
| Agent fee | Date, amount, management-cost category | Agent statement or invoice |
| Finance cost | Date, amount, restricted-finance-cost classification where relevant | Lender statement |
The classification of a cost depends on the facts and tax rules. A digital tool can organise the evidence, but it does not decide whether a cost is allowable in your circumstances.
One UK property business, useful property detail
HMRC generally treats multiple UK properties as one UK property business, so MTD does not automatically require a separate statutory digital record set for each address. Many landlords still track each property internally because it makes reconciliation, performance review and evidence retrieval easier.
For jointly let property, the digital records should relate to your share of the income and expenses. HMRC provides specific simplifications for some jointly owned property records.
Digital links and corrections
If records are created in one system and filed through bridging or other compatible software, the transfer must remain digital. Re-keying totals by hand can break the required digital link.
Correct errors in the underlying digital record as soon as possible. A correction made during the year is reflected through the next update; after the fourth update, HMRC describes options for correcting the record or adjusting category totals before the Income Tax position is finalised.
How long to keep the records
HMRC says MTD digital records must be retained for at least five years after the 31 January submission deadline for the relevant tax year. Keep supporting invoices, receipts and statements in an organised evidence trail as well.
Where M.T.D.O. fits
M.T.D.O. provides a landlord-focused place to capture transaction details, organise property records and prepare quarterly totals. It does not itself provide the recognised HMRC connection. Confirm that your final workflow maintains the required digital link into the compatible software used for submission.
Continue to quarterly deadlines → or return to the complete landlord guide →.