Trust Ledger Accounting LtdMy Making Tax Digital Software Cannot File My Tax Return: What Are My Options?
By Trust Ledger Accounting. Figures taken from the analysis cited below and last updated on .
If your Making Tax Digital software can send quarterly updates but cannot file the final tax return, you have three options: wait, if HMRC's list shows the tax return as "in development"; switch to a product that shows it as "ready"; or have an accountant file the return for you. The first return, for 2026/27, is due by 31 January 2028, so there is time, but check your product now.
How to check your software in two minutes
- Open HMRC's software finder.
- Find the product you use and open its page.
- Read the line for the tax return. It will say one of three things.
| What the list says | What it means for you |
|---|---|
| Ready | The product can file the tax return now. Nothing to do. |
| In development | The company has committed to building it in time for the 2026/27 return. It is a promise, so check again later. |
| Not included | The product only sends quarterly updates. You will need another way to file the return. |
How common is the problem?
An October 2026 analysis by the landlord software company LetCompliance counted every product on HMRC's list that supports UK property income. It was reported by The Telegraph and LandlordZONE.
| Products for UK property income | Number |
|---|---|
| On HMRC's list in total | 128 |
| Tax return shown as ready | 84 |
| Tax return shown as in development | 32 |
| Tax return not included | 12 |
That is 44 of 128, or about 34%, that could not file the return when the count was made. The same analysis found that only 11 of the 84 "ready" products handle every other income type HMRC lists, such as bank interest, dividends and pensions. HMRC's response was that features marked as under development are expected to be ready before people need to send their end-of-year return.
These figures will change as software companies release updates, which is why your own product page is the thing to check.
Your three options
| Option | Suits you if | Watch for |
|---|---|---|
| 1. Wait | Your product shows the tax return as "in development" and you are otherwise happy with it | It is a commitment, not a guarantee. Put a reminder in your diary to check the product page again in autumn 2027. |
| 2. Switch software | Your product does not include the tax return, or you do not want to rely on a promise | You must bring this year's records into the new product, and it needs to cover all your income, not only rent or trading income. |
| 3. Have an accountant file it | You want to keep your current product for quarterly updates, or you would rather not deal with the return at all | Agree the fee and what records they need well before January. |
What not to do
- Do not leave it until January 2028. Late filing and late payment penalties for the tax return apply in full, even in this first year.
- Do not assume "recognised" means "complete". Being on HMRC's list and being able to file the return are two different things.
- Do not pay for a second subscription before checking whether your current product's update is due, or whether an accountant can file for less.
How we can help
Tell us the name of your product and we will check it against HMRC's list for free and tell you what it can and cannot file. If it cannot file the return, we will prepare and file your 2026/27 return for a fixed £150 + VAT. If you would rather hand over the whole thing, our Making Tax Digital service keeps your records and sends all four quarterly updates from £40 + VAT a month.
Send us a WhatsApp, email [email protected] or use the form.