In September 1967 The Beatles embarked on making their third film, this time conceived and directed by themselves. Based on a loose unscripted narrative, in the spirit of the experimental mood of the time, and directed by The Beatles themselves, the film became the vehicle to present 6 new songs - Magical Mystery Tour, The Fool On The Hill, Flying, I Am The Walrus, Blue Jay Way and Your Mother Should Know.
The Beatles first film since "Help", was largely Paul McCartney's project. The story follows a bus load of eccentric characters on a magic journey through the English countryside. Rather than a unified narrative, it becomes a series of psychedelic clips .
"Magical Mystery Tour" was conceived as a way for The Beatles to do something fun and exciting in the wake of Brian Epstein's death. After his death, The Beatles realized that they were in financial trouble and had to do something with their acquired wealth or else the British government would levy taxes against them. So they started Apple Corps. and "Magical Mystery Tour" was the first project they made under the Apple company.
The soundtrack recordings were issued in England as a double EP with accompanying booklet. Capitol Records in the US added stereo versions of recent Beatles singles, and issued an LP with an enlarged copy of the booklet.