Question to the HM Treasury:

To ask the Chancellor of the Exchequer, with reference to her Department’s press release entitled Act now: 864,000 sole traders and landlords face new tax rules in two months, published on 5 February 2026, whether HMRC has undertaken an equality impact assessment of the implementation of Making Tax Digital for Income Tax on older and digitally excluded sole traders and landlords.

HMRC has been accepting applications for exemption from Making Tax Digital (MTD) for Income Tax since 29 September 2025.

As of 31 January 2026, we have received 1,271 applications for exemption from MTD for Income Tax on the grounds of digital exclusion.

As of 31 January 2026, decisions had been made on 881 applications, with 661 granted exemptions from the MTD for Income Tax requirements.

HMRC has assessed the potential impact of MTD for Income Tax the potential impact of MTD for Income Tax on compliance costs and administrative requirements across different customer groups, including self-employed individuals, small businesses, and landlords.

The latest published assessment is available at: Extension of Making Tax Digital for Income Tax Self Assessment to sole traders and landlords - GOV.UK

Equalities are also considered as part of this impacting. The government is clear that where a taxpayer cannot use MTD for Income Tax, for example due to age or disability, they can apply for exemption from the MTD requirements.