Analysis of HMRC’s Making Tax Digital for Income Tax (MTD) software finder tool by LetCompliance, a landlord specialist, found that 65 of the 165 listed products cannot currently file year-end reports, equivalent to 39% of the market.

Of the 165 software products on the HMRC list, 46 (28%) are described as ‘in development’ while 19 (12%) do not plan to include year-end report functionality at all.

Under MTD, taxpayers must submit quarterly updates during the year and then complete a year-end report through compatible software. While all products on HMRC's software finder can send quarterly updates, not all can currently submit the year-end report that completes the reporting cycle.