Does Making Tax Digital apply to PAYE income?

No. MTD for Income Tax only applies to self-employed and property income. PAYE employment income does not count toward the threshold. A performer earning £30,000 from gigs and £25,000 from a PAYE job would only count the £30,000 self-employed income.

Does teaching income count toward the MTD threshold?

Yes, if you are self-employed as a teacher. All self-employed income counts toward the MTD threshold — gigs, teaching, session work, and any other freelance earnings. Only PAYE income is excluded.

What is the MTD threshold for 2026?

The MTD threshold from 6 April 2026 is £50,000 gross self-employed income. This is your total earnings before any expenses are deducted — not your taxable profit. The threshold drops to £30,000 in April 2027 and £20,000 in April 2028.

What is the difference between gross income and taxable profit for MTD?

Gross income is your total earnings before any deductions. Taxable profit is gross income minus allowable expenses. MTD thresholds are based on gross income, so a performer earning £52,000 gross who claims £18,000 in expenses has a taxable profit of £34,000 — but still falls under MTD from April 2026.

I am under the MTD threshold — do I need to do anything now?

No immediate action is required for MTD. However, the threshold drops to £30,000 in April 2027 and £20,000 in April 2028. Getting digital records in place now means you will be prepared when your threshold arrives, with a full year of clean data already recorded.

Does agency commission reduce my gross income for MTD purposes?

No. HMRC counts your full fee before commission is deducted. If an agency pays you £800 and takes £120 commission, your gross income is £800. Commission is an allowable expense that reduces your taxable profit, not your gross income for MTD threshold purposes.

Features

Pricing

Why Gigflow

MTD

Blog

Contact

Start for free

⏱️ Making Tax Digital starts 6th April.

Gigflow keeps your records MTD-ready. Find out more

Features

Pricing

MTD

Blog

Contact

Start for free

⏱️ Making Tax Digital starts 6th April.

Gigflow keeps your records MTD-ready. Find out more

Start for free

⏱️ Making Tax Digital starts 6th April.

Gigflow keeps your records MTD-ready. Learn more

Making Tax Digital · Free tool

Does Making Tax Digital apply to you?

MTD thresholds are based on gross income — your total fees before commission, expenses, and mileage. Not your profit, not your take-home.

Enter your figures to see where you stand for 2025/26 and the years ahead.

Making Tax Digital

Does MTD apply to you?

Enter your estimated self-employed income for the 2025/26 tax year. MTD is based on gross income — your total before expenses.

Total gig income (gross)

Total from all agencies and direct bookings, before expenses

Other self-employed income

Teaching, session work, or any other freelance earnings

This calculator is a guide only. Consult HMRC or an accountant for advice specific to your situation.

Why gross income catches more performers than they expect

Most performers think in net terms — what actually lands in the bank after the agency takes its cut. HMRC doesn't. They count every fee at full value before anything comes off.

If Kingston Artistes pays you £800 and deducts £120 commission, your gross income for MTD purposes is £800 — not £680. Commission is an allowable expense, not a reduction in gross income. The same applies to mileage, equipment costs, and any other deductions. They reduce your tax bill, not your MTD threshold.

A working singer doing 60 gigs at £850 average has a gross income of £51,000 — above the 2026 threshold — even if their taxable profit is well below that after expenses.

What to do if MTD applies to you

You need digital record-keeping software in place from 6 April 2026 — not a spreadsheet, not a notes app, not a shoebox of bank statements. Every gig fee, expense, and mileage claim recorded digitally, as you go.

Gigflow does this automatically. Every gig you add creates a timestamped digital record with the date, amount, venue, and category HMRC requires. Your records build themselves throughout the year.

For the full picture on what MTD involves — quarterly updates, deadlines, and exactly what changes — read the complete MTD guide for performers.

Your records, sorted from day one.

Gigflow tracks your gig income, mileage, and expenses digitally — exactly the format MTD requires. Free to start. No card needed.

Try Gigflow free →

No credit card required · UK performers only

Your records, sorted from day one.

Gigflow tracks your gig income, mileage, and expenses digitally — exactly the format MTD requires. Free to start. No card needed.

Try Gigflow free →

No credit card required · UK performers only

Frequently asked questions

Does MTD apply to PAYE income?

No. MTD for Income Tax only applies to self-employed and property income. If you also have a PAYE job, only your self-employed earnings count toward the threshold. A performer earning £30,000 from gigs and £25,000 from a day job would only count the £30,000.

What if my income varies significantly year to year?

MTD applies based on your actual gross income for each tax year. If you exceed the threshold one year but not the next, your obligations change accordingly. HMRC will notify you when you come into scope based on your Self Assessment returns.

Does gross income include VAT?

If you're not VAT-registered — which most performers aren't — this doesn't apply to you. If you are VAT-registered, MTD for VAT is a separate obligation with different rules. The thresholds on this calculator refer to income before VAT where applicable.

Does teaching income count toward the threshold?

Yes, if you're self-employed as a teacher. All self-employed income counts — gigs, teaching, session work, and any other freelance earnings all add together toward the threshold. Only PAYE income is excluded.

I'm under the threshold — do I need to do anything now?

Not for MTD, no. But the threshold drops to £30,000 in April 2027 and £20,000 in April 2028. If your income is growing, getting digital records in place now means you won't need to scramble when your threshold arrives. You'll also have a full year of clean data ready when it does.

How is gross income different from what I declare on my tax return?

Your Self Assessment return declares net profit — income minus allowable expenses. MTD thresholds are based on gross income, so you could be above the threshold while paying relatively little tax. A performer earning £52,000 gross who claims £18,000 in legitimate expenses has a taxable profit of £34,000 — but still falls under MTD from April 2026.

Does MTD apply to PAYE income?

Does teaching income count toward the threshold?

What if my income varies significantly year to year?

I'm under the threshold — do I need to do anything now?

Does gross income include VAT?

How is gross income different from what I declare on my tax return?

Disclaimer: This calculator is a guide only and does not constitute financial advice. Thresholds are based on current HMRC guidance for the 2025/26 tax year. Speak to a qualified accountant or tax adviser for advice specific to your circumstances. You can verify MTD requirements directly on GOV.UK.

Gig tracking, invoicing, mileage and tax for UK freelance performers. Built by a singer’s partner who watched the chaos and decided to fix it.