The right accounting software for a UK small business keeps you compliant with HMRC without extra admin. Here is what to compare before you commit — and how ETaxFlow fits.
Rates, thresholds and deadlines below are correct at the time of writing. HMRC and other authorities update them regularly, so confirm the current figures on the official website or with your adviser before you file or pay. This guide is general information, not tax advice.
| Criterion | Why it matters | What to check |
|---|---|---|
| Making Tax Digital VAT | VAT-registered businesses must keep digital records and file through compatible software | Does it prepare MTD-ready VAT data from your ledger and support your VAT scheme? |
| Corporation Tax | Limited companies pay 19% to 25% with marginal relief | Does it estimate your liability during the year and give your accountant a workpaper? |
| PAYE payroll and RTI | Employers must report to HMRC on or before each payday | Is payroll included, or a separate paid product? |
| Invoice capture | Manual entry of supplier bills is slow and error-prone | Can it read PDFs, photos and spreadsheets and suggest coding? |
| Bank reconciliation | Reconciled accounts make VAT and year-end faster | Does it import statements and match transactions? |
| Multi-currency | Foreign customers and suppliers need FX handling | Is GBP the base currency with automatic FX gain and loss? |
| Pricing model | Add-ons and per-user charges change the real cost | What is included at each plan, and how many users? |
| Migration and support | Switching should not cost you a month | Does the vendor import your data and help with set-up? |
Start a free 3-day trial and import a month of transactions.
| Step | What to do |
|---|---|
| 1. Choose a cut-over date | Start of a VAT period or month is cleanest |
| 2. Export current data | Chart of accounts, opening balances, customers, suppliers and open invoices |
| 3. Import and reconcile | Check the trial balance matches your old system |
| 4. Connect the bank | Reconcile the first month before going live |
| 5. Move payroll | Start at the beginning of a tax month with year-to-date figures |
| 6. Brief your accountant | Share access and the cut-over report |
The best choice is the one that covers your obligations in one system: MTD-ready VAT, Corporation Tax or self-employed tax, payroll with RTI if you have staff, and easy bank reconciliation.
If you are VAT-registered, yes. Digital records and submission through compatible software have applied to all VAT-registered businesses since April 2022.
Yes. ETaxFlow includes PAYE payroll with RTI submission to HMRC, with journals posted to the ledger.
Yes. GBP is the base currency, with multi-currency support for USD, EUR and others at invoice-date rates.
Most small businesses can move over in a few days, depending on data quality and whether payroll moves at the same time.