Landlords have been given an additional year to comply with the HMRC’s Making Tax Digital (MTD) regulation, which will now come into force in April 2024.

The regulation will mean landlords have to declare their income every three months via an online system.

It will affect landlords with a business or personal income in excess of £10,000 a year, a threshold that has been criticised for being too low.

Lucy Frazer, financial secretary to the Treasury, said: “The digital tax system we are building will be more efficient, make it easier for customers to get tax right, and bring wider benefits in increased productivity.

“But we recognise that, as we emerge from the pandemic, it’s critical that everyone has enough time to prepare for the change, which is why we’re giving people an extra year to do so.

“We remain firmly committed to MTD and building a tax system fit for the 21st century.”

This is the latest in a long line of delays to this digital tax change, which was originally due to come into force in April 2018.

Complying with MTD will mean landlords have to use a compatible software tool. There are currently two available for use by businesses and individuals, though there’s expected to be more choice as we approach the implementation date.

A pilot scheme is currently underway, while the HMRC is encouraging businesses and individuals to sign up voluntarily for the MTD income tax programme.