Best landlord tax software UK 2026: compared | August

Best landlord tax software for UK landlords in 2026

Written by the August editorial team. Last reviewed: June 2026.

Landlord tax software is the system a landlord uses to track rental income and allowable expenses at property level, apply the Section 24 mortgage interest credit correctly, generate SA105-ready figures, and submit Making Tax Digital quarterly updates to HMRC. Tax is the single largest financial obligation most UK landlords face, yet it is the area most often run on spreadsheets, bank statements and memory. The result is predictable: missed expense deductions, miscalculated mortgage interest credits, inaccurate quarterly figures, and year-end scrambles that cost more in accountant time than good software would have.

The stakes are higher in 2026 than they were two years ago. Making Tax Digital for Income Tax has been mandatory since April 2026 for landlords with gross property income above £50,000, and the threshold drops to £30,000 in April 2027 and £20,000 in April 2028. MTD does not change how much tax you pay; it changes when and how you report it, and it makes the quality of your year-round records directly visible to HMRC. A landlord whose figures were previously reconstructed each January now has four quarterly checkpoints where incomplete records become an immediate problem.

This guide covers the full landscape of landlord tax software in 2026: what it needs to do, how dedicated landlord platforms differ from general accounting tools, and which option suits which type of landlord.

Who this guide is for: UK landlords managing between one and thirty properties on a personal basis rather than through a limited company, who need software to handle rental income tracking, allowable expense categorisation, the Section 24mortgage interest credit, and MTD quarterly submissions. Landlords operating through a limited company should use a full business accounting platform such as Xero or QuickBooks alongside their corporation tax adviser.

Transparency note: August is one of the platforms discussed here. We have aimed to describe each tool's tax features accurately, and we did not receive payment from any provider featured.

What landlord tax software needs to do

Good landlord tax software handles several distinct tasks as one integrated system rather than as separate manual exercises.

Digital record-keeping at property level. HMRC requires landlords to keep records of all rental income received and all allowable expenses paid, matched to individual properties. Software that tracks income and expenses in aggregate rather than per property creates significant extra work at quarterly submission time.

Correct Section 24 treatment of mortgage interest. Since April 2020, individual landlords can no longer deduct mortgage interest from rental income when calculating profit. Instead they receive a 20% tax credit on the interest paid, under section 24 of the Finance (No. 2) Act 2015. This is the most commonly mishandled calculation in landlord accounting. General accounting tools sometimes treat mortgage interest as a straightforward deductible expense, which produces an incorrect tax figure. Verify Section 24 handling before committing to any platform.

HMRC-aligned expense categorisation. Allowable expenses for landlords are specific. Repairs and maintenance are allowable; improvements and capital expenditure are not. Letting agent fees, landlord insurance, safety certificate costs and professional fees are allowable; the cost of your own time is not. Software that uses generic accounting categories rather than HMRC property income categories makes self-assessment harder and risks missed claims. For a full breakdown of what is and is not deductible, see our guide to allowable expenses for landlords.

MTD quarterly submission capability. From April 2026, landlords above the income threshold must submit four quarterly updates per year plus a final declaration, using software on the HMRC recognised list. A quarterly update is a summary of income and expenses, not a tax return. Not all landlord tools are on the recognised list, so this is now a mandatory capability check rather than an optional feature.

SA105 reporting. The SA105 supplementary form is the HMRC document used to report UK property income within a self-assessment return. Good landlord tax software generates SA105-ready output automatically, so the figures flow into your return without manual reformatting.

Bank feed integration. A connection that imports transactions automatically, ideally through open banking rather than CSV upload, keeps records current throughout the year rather than forcing a bulk reconciliation before each deadline.

Why landlord tax software is different from MTD software

MTD software is the narrower category: tools that meet HMRC's technical requirements to submit quarterly updates and that appear on the GOV.UK recognised software list. Landlord tax software is the broader category: tools that handle the complete tax picture, from expense tracking and bank reconciliation through Section 24 calculations, SA105 output and quarterly submissions.

All MTD-compliant landlord tools handle quarterly submissions. Not all handle Section 24 correctly, not all track expenses at property level, and not all integrate rent tracking with the expense ledger in a way that keeps records accurate without manual input.

If you are looking specifically at the quarterly submission process and which platforms hold HMRC recognition, our dedicated guide to the best MTD software for landlords covers recognition status, the difference between full MTD software and bridging software, and what landlords with self-employment income alongside rental income need to consider. This guide takes the broader view: what good landlord tax software looks like across the full self-assessment and MTD picture, and which platform fits which landlord.

The platforms compared

August

Best for: Self-managing landlords who want rent tracking, expense management and MTD record-keeping integrated in a single platform.

August tracks rental income through open banking, matching incoming transactions to the correct tenancy automatically. Expenses are logged against HMRC-aligned categories, including repairs, insurance, letting fees and professional costs, from your phone or desktop, with receipt photos attached. The expense ledger is organised at property level, giving you a clean income and expense picture per property ready for quarterly submission. Section 24 mortgage interest is handled correctly: interest is recorded separately from deductible expenses and the 20% credit is applied at the calculation stage. August also handles shared ownership, so if you own a property jointly you set your ownership percentage and August calculates your share of every transaction.

From building August alongside thousands of self-managing landlords, we have found that the records feeding a tax submission work best when they are the same records used to run the portfolio day to day. There is no separate bookkeeping exercise at quarter-end: rent payments are already logged, expenses are already categorised, and bank transactions are already reconciled. The MTD feature set supports digital record-keeping, expense categorisation and direct HMRC submission.

Limitations: August is approaching full HMRC recognition for MTD quarterly submissions; confirm current status on the MTD page before committing. It is built for individual landlords in England and Wales, not limited company portfolios or complex multi-entity structures. For significant capital gains activity or complex affairs, dedicated accountant support alongside August remains advisable.

Pricing: Free for up to two properties. See current pricing for paid plan details.

Hammock

Best for: Landlords whose primary concern is MTD compliance and financial clarity, and who are comfortable managing compliance tasks separately.

Hammock holds formal HMRC recognition for MTD Income Tax submissions, which confirms the software meets HMRC's technical requirements for quarterly updates. Its open banking connection imports transactions automatically, income is categorised by property, and the submission workflow is among the most established of any landlord-specific tool. Financial reporting is strong, with clear income and expense summaries by property and period, and it handles Section 24 correctly.

Limitations: Hammock is a finance and tax tool, not a property management platform. There is no compliance checklist, no document storage for gas safety certificates or EICRs, no tenant app and no maintenance tracking, so it works best alongside a separate tool, which adds cost and the risk of records living in two systems. For a direct head-to-head, see our August vs Hammock comparison.

Pricing: From around £7 to £10 per month.

Landlord Vision

Best for: Landlords who want the deepest financial reporting available from a dedicated landlord platform, including full double-entry bookkeeping and SA105-ready output.

Landlord Vision has served UK landlords since 2002 and holds confirmed MTD compatibility on the GOV.UK recognised list. Its reporting suite, with more than fifty accountant-approved reports, is the most comprehensive of any dedicated landlord platform: profit and loss by property, category breakdowns, capital account reporting and SA105-formatted output, all without requiring an accountant to reformat the data. Section 24 is handled correctly.

Limitations: The accounting-first design makes it the most powerful financial tool in this comparison but also the most involved to operate without a bookkeeping background. Bank feeds are less automated than August or Hammock, and the interface is desktop-first, which some landlords find less convenient for on-the-go expense logging. For a direct comparison, see our August vs Landlord Vision page.

Pricing: From £19.99 per month, tiered by portfolio size.

Landlord Studio

Best for: Landlords who manage primarily on mobile, want best-in-class receipt scanning, and whose accountant uses Xero.

Landlord Studio achieved HMRC recognition for MTD quarterly submissions in March 2026. Its mobile app offers the best receipt scanning and mileage tracking in this comparison, and its Xero integration creates a clean data feed for accountants already on that platform. Income is tracked per property with bank feed connectivity, and HMRC-aligned expense categories are built in.

Limitations: Confirm directly with Landlord Studio that the platform applies the 20% Section 24 credit rather than treating interest as a deductible expense before committing. Compliance features are limited compared with UK-specific platforms. For a direct comparison, see our August vs Landlord Studio page.

Pricing: Per unit; check current rates on the Landlord Studio website.

Xero and QuickBooks

Best for: Landlords who also run a self-employed business alongside their rental income and want both streams in one accounting platform their accountant already uses.

Both Xero and QuickBooks are on the HMRC recognised list for MTD, and they are the platforms most UK accountants work with daily, which simplifies the accountant relationship. For landlords with mixed income, the ability to manage both streams in one platform and produce a single set of digital records is a genuine advantage.

Limitations: Neither platform is designed for property management. There is no room-level tenancy tracking, no compliance reminders, and no certificate storage, and property-level income reporting requires manual setup. Section 24 is not handled automatically and must be configured correctly, which a landlord without accounting knowledge may get wrong. For landlords whose primary identity is property manager rather than business owner, the complexity overhead is rarely worth it.

Section 24: the calculation most software still gets wrong

The Section 24 mortgage interest restriction is the most financially significant tax change for individual landlords in a generation, and it remains the most commonly miscalculated item in landlord tax software. Under the old regime, mortgage interest was deducted from rental income before calculating profit. Under Section 24, fully phased in by April 2020, interest is not deductible; instead you receive a tax credit worth 20% of the interest paid, applied against your income tax bill.

The difference matters most for higher-rate and additional-rate taxpayers. A landlord paying £10,000 a year in mortgage interest under the old regime deducted £10,000 from taxable profit, saving £4,000 in tax at the 40% rate. Under Section 24 the same landlord receives a 20% credit of £2,000, a net increase of £2,000 a year from this change alone. General accounting software that treats mortgage interest as a deductible expense understates your liability by exactly this difference.

In practice, the landlords we support most often go wrong here when they migrate from a spreadsheet that deducted interest in full, carry the habit into generic accounting software, and discover the error only when the figures reach their accountant. Before committing to any platform, ask the provider one specific question: how does it handle the Section 24 restriction? If the answer involves treating interest as a deductible expense rather than calculating a 20% credit, the platform will produce incorrect figures. To model how Section 24 affects your own position, use our rental income tax calculator and see our guide to how rental income is taxed in the UK.

MTD and landlord tax software: the practical picture in 2026

Making Tax Digital requires landlords above the threshold to submit four quarterly updates per year plus a final declaration. Each quarterly update is a summary of rental income and allowable expenses for that quarter, submitted from within your chosen software, as set out in HMRC's guidance on using Making Tax Digital for Income Tax. It is a checkpoint that keeps your records current and visible to HMRC throughout the year rather than only in January.

The consequence for software choice is significant: your records must be accurate four times a year, not once. A platform that needs manual data entry or CSV reconciliation to stay current generates four times the administration of one that keeps records up to date automatically through open banking and expense logging. The income thresholds are gross property income above £50,000 from April 2026, dropping to £30,000 from April 2027 and £20,000 from April 2028. To check when MTD applies to your income level and what the quarterly process involves step by step, see our complete guide to Making Tax Digital for landlords.

Do you still need an accountant if you use landlord tax software?

Yes, with an important qualification. Landlord tax software handles record-keeping, categorisation, quarterly submissions and report generation. It does not replace the judgement of a qualified adviser on tax planning, incorporation decisions, capital gains strategy or complex expense classifications.

What good software does is reduce the cost of that involvement. If your records are clean, categorised and exportable in SA105-ready format, your accountant reviews and approves rather than reconstructing, and the hours saved reduce the fee. For guidance on choosing an adviser who understands property tax, and what to ask about MTD and Section 24, see our guide to choosing an accountant as a UK landlord.

Which landlord tax software is right for you

If you self-manage between one and thirty properties and want rent tracking, expense management and MTD record-keeping in a single integrated platform, August is built for this workflow. If MTD compliance and confirmed HMRC recognition are your priority right now and you are comfortable managing compliance separately, Hammock is the most established choice for quarterly submissions. If you need the deepest accountant-ready reporting, Landlord Vision is the most comprehensive dedicated platform. If you run a business alongside your rental income and your accountant already uses Xero or QuickBooks, keeping both streams in one familiar platform is a practical advantage that can outweigh the property-management limitations.

For a broader comparison covering compliance, rent tracking and property management features alongside tax, see our guide to the best property management software for UK landlords.

Frequently asked questions

Is there free landlord tax software? 

Some platforms offer a free tier for the smallest landlords, including August, which is free for up to two properties. HMRC has confirmed it will not produce its own free MTD software, so once you cross the MTD threshold you will generally need a paid plan or a free tier that includes quarterly submission. Check that any free option is on the HMRC recognised list before relying on it for submissions. You can start with August for free and upgrade only if you need MTD reporting.

Do landlords need MTD software in 2026? 

Only if your gross property income is above £50,000, in which case MTD for Income Tax has applied since April 2026. The threshold falls to £30,000 in April 2027 and £20,000 in April 2028. Below the threshold, MTD is not yet mandatory, though keeping digital records early makes the transition smoother.

Can I still use a spreadsheet for landlord tax? 

A spreadsheet alone does not meet MTD requirements, because the figures must be submitted to HMRC digitally. You can keep using a spreadsheet only if you connect it to MTD-compatible bridging software that sends the data to HMRC without manual re-typing. For most landlords, dedicated software is simpler than maintaining a spreadsheet plus a bridging tool.

Is Xero or QuickBooks good for landlord tax? 

Both are HMRC-recognised and work well if you also run a self-employed business and your accountant already uses them. For property income specifically, they require manual setup for per-property reporting and for Section 24, and they lack landlord features such as compliance reminders and certificate storage. A dedicated landlord platform usually handles property tax with less configuration.

About this review

Written by the August editorial team, who work with self-managing UK landlords and property professionals across England and Wales to produce practical, accurate guidance on tax compliance, software and landlord accounting. August is one of the platforms reviewed. Where we discuss our own product alongside alternatives, we have aimed to describe accurately what each tool does and for whom it is best suited. Last reviewed: June 2026.

Disclaimer: This article is a guide and not intended to be relied upon as legal or tax advice, or as a substitute for it. Tax rules change and individual circumstances vary. August does not accept any liability for any errors, omissions or misstatements contained in this article. Always speak to a suitably qualified tax adviser for advice specific to your situation.