Stopped self employment but still receiving MTD letters

Pompeydave1967

Morning all , wife stopped self employment in Jan 2026 and filled in the online stoping self employment form on gov website but still receiving letters ref MTD .Appreciate it’s getting close that MTD starts for many soon but don’t want my wife to receive a penalty or similar for not notifying of change in circumstances . Have rung HMRC only to be put on hold for ages and ages without answering. Any advice guys ? She will do her final return assessment in a week or so and I know it says on there did self employment stop within 2025/26 so obviously will say yes so hopefully that triggers things .

Albermarle

If you do need to ring HMRC, then best to do it when the lines open at 08.00. You usually get through in 10 to 20 minutes.

DRS1

MTD is like a spider's web - once you're caught it is hard to escape. I believe you would need three years of "nothing to see here" before they let you go. Whether she is already caught depends on her 24/5 gross profits. If they are under £50k then she won't need to start MTD from April 26 so maybe she'd have a bit of time to get them to let her go.

Castle

https://forums.moneysavingexpert.com/discussion/comment/81946154#Comment_81946154

It's based on income, not profits.

DRS1

https://forums.moneysavingexpert.com/discussion/comment/81946310#Comment_81946310

They used to call it gross profits (ie before you deduct any expenses) and I guess that caused some confusion so I see they have changed that to "qualifying income". Or maybe it always said that and I am making it up! This page is one to look at - it has some stuff on ceased income sources.

Work out your qualifying income for Making Tax Digital for Income Tax - GOV.UK

For the OP on that page is a link to tell HMRC if all your income sources have ceased. Sadly I don't think it gets you to any special contact point.

Jeremy535897

HMRC has clarified the steps that taxpayers and agents should take where: 

• the taxpayer is within MTD income tax for 2026/27 (based on their 2024/25 self assessment return); and
• all of the taxpayer’s MTD sources ceased before 2026/27.  

Where this is the case, the taxpayer or their agent should call or use webchat to inform HMRC of the cessation, making it clear that there is a cessation of all MTD sources.  

HMRC will then confirm that the taxpayer is not required to use MTD income tax for 2026/27 onwards and will update the taxpayer’s record to reflect this. Written confirmation will also be sent to the person – taxpayer or agent – who contacted HMRC, although there may be a delay in receiving this.  

It is also possible to notify HMRC of the cessation by letter, but HMRC advises that telephone or webchat contact is preferred.  

The cessation must still be recorded on the 2025/26 self assessment return.