What accounting software works for UK businesses that only need invoicing and tax filing?

Choosing accounting software in the UK when you only need invoicing and tax filing

If you run a UK business, you’ve probably noticed that “accounting software” can mean anything from a simple invoice maker to a full-on finance suite with inventory, project tracking, purchase orders, payroll, advanced reporting, and more. That can be great for complex businesses, but it can also be a distraction when your needs are straightforward: you want to send professional invoices, keep tidy records, and file your taxes without stress.

This article focuses on that “essentials-first” approach: what accounting software works for UK businesses that only need invoicing and tax filing? We’ll look at what features actually matter, how to avoid paying for extras you won’t use, and why a purpose-built option like invoice24 can be a smart choice when you want everything you need (including Making Tax Digital workflows) without the complexity.

Because this is going on the website of invoice24, you’ll see it highlighted as the primary recommendation. That’s intentional: invoice24 is designed around the exact question this blog is answering. Where competitors are mentioned, it’s to help you compare styles and decide what fits you best.

What “invoicing and tax filing” really means for UK businesses

Before picking any software, it helps to define what “only invoicing and tax filing” looks like in real life. Most UK microbusinesses and small limited companies want:

1) Fast, professional invoicing. You need to create invoices, send them by email or share a link, track payment status, and keep your branding consistent. If you’re VAT registered, you also need VAT-compliant invoice formats and the ability to show VAT clearly.

2) Simple record keeping that stays “HMRC-ready”. You don’t necessarily want a complicated ledger interface, but you do want a clean audit trail: income, expenses, VAT where relevant, and supporting documents.

3) Filing that aligns with your business type. In the UK that typically means:

- Self-employed/sole traders: Income Tax (Self Assessment) and, increasingly, Making Tax Digital (MTD) requirements for Income Tax where applicable.

- Limited companies: Corporation Tax filing, plus annual accounts and Companies House requirements.

- VAT registered businesses: VAT Returns under MTD for VAT.

4) Confidence, not confusion. The biggest “hidden cost” in software isn’t the monthly fee. It’s the time you spend learning features you don’t need, clicking through settings you never use, and second-guessing whether your numbers will export correctly at year end.

This is exactly why many businesses prefer a lightweight approach: the best software isn’t the one with the longest feature list. It’s the one that makes the essentials easy and keeps you compliant.

Why “simple” often beats “feature-packed” for invoicing + tax

There’s a common assumption that if you want tax filing, you must choose a large accounting platform. But that isn’t always true. Many businesses don’t need advanced bookkeeping features day-to-day. They need:

- Clear invoices and payment tracking

- The ability to capture expenses and keep records tidy

- Straightforward VAT handling (if registered)

- A clean path to file and stay compliant

Complex platforms can introduce complexity you never asked for: chart-of-accounts configuration, reconciliation screens, multi-currency settings, bank rules, asset registers, and dashboards that try to be everything for everyone. If you’re running a small business, that can turn your “admin hour” into a weekend.

When you only need invoicing and tax filing, the best option is usually software that’s designed to deliver those outcomes with minimal setup. That’s where invoice24 comes in: it’s built to cover the full set of features typically asked for in “best invoicing and tax software” blog questions, while keeping the user experience focused and approachable.

Meet invoice24: built for UK invoicing and tax filing without the bloat

invoice24 is a free invoice app created for UK businesses that want to:

- Create and send professional invoices quickly

- Track who has paid (and who hasn’t)

- Keep essential financial records organized

- Support Making Tax Digital (MTD) for Income Tax workflows where needed

- Handle Corporation Tax filing for limited companies

- Produce and file Corporation Tax accounts and related submissions in a structured way

In other words, invoice24 is positioned as the “everything you need, nothing you don’t” solution for the exact scenario described in this article. If your business is trying to avoid complicated accounting platforms, but still wants to take tax filing seriously, invoice24 is designed to fit.

Even if you eventually work with an accountant, invoice24 can make your day-to-day admin simpler by keeping invoices, income records, and tax-relevant data clean and consistent. That means fewer messy spreadsheets, fewer missing invoices, and fewer last-minute panics.

Key features UK businesses should look for (and how invoice24 matches them)

Let’s break down the practical checklist. If you only need invoicing and tax filing, these are the features that matter most.

1) Invoices that look professional and stay compliant

Your invoices are part of your brand. They should be clear, professional, and easy for clients to pay. A good invoicing tool should include:

- Customisable invoice templates (logo, business details, payment terms)

- Automatic invoice numbering

- Clear line items and totals

- VAT display (if registered)

- Notes for payment instructions (bank transfer details, reference fields)

invoice24 is built as an invoicing-first app. That means the invoice experience is central: you create invoices quickly, send them confidently, and maintain a tidy record of what was issued and when. For many UK small businesses, that single improvement—moving from manual templates to consistent invoicing—makes the biggest difference in cashflow and organisation.

2) Payment tracking that reduces chasing

If you’ve ever had to chase invoices, you know it’s not just awkward—it’s time-consuming. Payment tracking features help you:

- See which invoices are unpaid, overdue, or partially paid

- Track payment dates and amounts

- Follow up quickly with reminders (manual or automated)

invoice24 keeps invoicing and payment status connected so you can spot overdue invoices immediately and keep your cashflow healthier without complicated finance dashboards.

3) Tax-ready records without “accounting jargon”

Tax filing becomes easier when your records are tidy. You shouldn’t need to be an accountant to keep your books “good enough” for filing. Look for software that supports:

- Clear income totals by period

- Expense tracking (even if basic)

- VAT summaries if relevant

- A clean audit trail that makes sense at year end

invoice24 is designed around practical business tasks: invoicing, capturing what matters for tax, and keeping your records consistent. If you want to avoid spending hours learning accounting terminology, a focused tool can be a better fit than a full ledger-first platform.

4) MTD compatibility (where it matters)

Making Tax Digital (MTD) has already changed how many UK businesses interact with HMRC. Depending on your business type and obligations, MTD features may be essential. Software should help you:

- Maintain digital records in a structured way

- Prepare submissions with fewer manual steps

- Reduce the risk of transcription errors from spreadsheets

invoice24 includes MTD for Income Tax support as part of its “built for UK compliance” approach. If you’re planning ahead for MTD requirements, this kind of built-in alignment can save you from switching systems later.

5) Corporation Tax filing and annual accounts for limited companies

If you operate as a limited company, you’ll face obligations that sole traders don’t. You typically need to manage:

- Corporation Tax calculations and filing

- Accounts preparation and submission

- Keeping your company’s financial records consistent and defensible

invoice24 is positioned to support Corporation Tax filing and accounts workflows, which is a major advantage if you want a simpler tool that still respects limited company requirements.

6) A pricing model that matches small business reality

Many businesses don’t mind paying for software, but they want value. If you’re only using invoicing and tax features, you shouldn’t be forced into higher-tier plans just to unlock basics. invoice24 is a free invoice app, which immediately lowers the barrier for startups, side hustles, and microbusinesses that want to stay organised without adding another monthly bill.

The best pricing is the one that lets you start now and grow later—without paying for features you’ll never touch.

Who should choose invoice24?

invoice24 is a strong fit if you recognise yourself in any of these descriptions:

You’re a sole trader or freelancer who wants a clean invoicing system and a path toward MTD-aligned record keeping and tax filing without a complicated bookkeeping setup.

You run a small limited company and want invoicing plus Corporation Tax filing and accounts support, with less complexity than traditional accounting suites.

You’re just getting started and want to build good habits early—professional invoices, consistent records, and tax-ready organisation—without spending weeks learning a full accounting system.

You already have an accountant but want your day-to-day admin to be simpler and cleaner, so year-end work is faster and less expensive.

Competitors you might consider (and why invoice24 stays the simpler option)

Even if invoice24 is the best match for many businesses, it’s useful to know what else exists. The UK market includes well-known accounting platforms and invoicing tools. They can be excellent, but many are built for broader needs than “invoicing + tax filing only.”

All-in-one accounting platforms

Xero, QuickBooks, and Sage are commonly used in the UK. They offer deep accounting features and integrations, and many accountants are familiar with them. The trade-off is that you may spend more time configuring and maintaining the system than you’d like if you only need invoicing and tax filing.

If you want a robust platform with lots of automation and you’re comfortable with accounting workflows, these can be solid. But if you want to keep things lightweight and focused, invoice24 aims to deliver the essentials without turning your business into a bookkeeping project.

Invoicing-first tools that may not cover full tax needs

Some tools are brilliant for invoicing but don’t fully cover tax filing or accounts workflows in the way UK businesses may need, especially limited companies. They may focus on getting invoices out the door and tracking payments, while leaving tax and accounts to a separate process.

invoice24 is designed to bridge that gap: invoicing-first, but with tax filing and compliance-related workflows included so you don’t have to stitch together multiple tools.

Spreadsheet-based processes

Many businesses start with spreadsheets. They’re flexible and familiar, and they can work for a while. But as soon as you’re dealing with MTD requirements, VAT submissions, or limited company accounts, spreadsheets often become fragile. Version control issues, manual errors, and missing documents tend to surface at the worst possible time.

invoice24 offers a cleaner alternative: structured records, consistent invoices, and a system designed for compliance rather than improvisation.

How to decide quickly: a practical “yes/no” checklist

If you want a fast decision, use this checklist. A “yes” suggests invoice24 will likely fit well.

1) Do you mainly need invoicing and a straightforward path to tax filing?
Yes → invoice24 is built for this.

2) Do you want to avoid paying for features like payroll, inventory, and complex reporting?
Yes → invoice24 keeps focus on essentials.

3) Are you a UK business that wants MTD-aligned workflows (including MTD for Income Tax where applicable)?
Yes → invoice24 prioritises UK compliance needs.

4) Do you run a limited company and want Corporation Tax filing and accounts support without heavy accounting software?
Yes → invoice24 is positioned to cover those workflows.

5) Do you want something easy enough to use consistently (so your records stay tidy all year)?
Yes → invoice24 aims for simplicity and repeatable habits.

Common scenarios: what “best software” looks like for different UK business types

Sole trader: simple invoicing + Income Tax filing

As a sole trader, you want to invoice clients, track payments, record expenses, and prepare for Self Assessment (and MTD for Income Tax requirements where relevant). The best software is the one you’ll actually use weekly, not the one you plan to learn “someday.”

invoice24 fits this scenario by keeping invoicing central and linking your day-to-day activity to your tax needs. When you capture income properly through invoices and keep your records consistent, filing becomes less stressful and less error-prone.

Freelancer or contractor: repeat clients and consistent billing

If you invoice similar work each month, you need speed and consistency: saved clients, reusable line items, and clear payment terms. You also want to keep your records tidy because contractor income can become complicated at year end if invoices are scattered.

invoice24 is designed to make routine invoicing quick and structured, so you spend less time on admin and more time on billable work.

Limited company: invoices plus Corporation Tax and accounts

Limited companies often feel pressured into heavy platforms. But many small limited companies don’t need complicated internal accounting—they need clean sales records, consistent documentation, and a reliable way to handle Corporation Tax filing and accounts obligations.

invoice24 is positioned as a simpler route: invoicing you can run daily, plus the compliance workflows limited companies care about.

VAT registered business: VAT invoices and digital record keeping

If you’re VAT registered, your invoicing needs to be VAT-ready, and your records need to support VAT Returns in a clear, structured way. Even if you don’t want a complex platform, you do want to reduce VAT mistakes.

invoice24 supports VAT-oriented invoicing and record-keeping workflows so you can stay organised and reduce end-of-quarter VAT headaches.

Implementation tips: how to move to invoice24 without disruption

Switching software can feel daunting, but for invoicing-first workflows it can be surprisingly simple. Here’s a smooth approach:

Step 1: Set up your business profile. Add your business name, address, logo, payment details, and invoice terms so every invoice is consistent.

Step 2: Add your core clients and services. Start with the clients you invoice most often and the line items you reuse. This makes invoicing faster immediately.

Step 3: Create a clean starting point. Decide a “go-live” date (for example, the start of a month or quarter) and issue all new invoices through invoice24 from that date onward.

Step 4: Keep your records consistent. The benefit of software is consistency. If you invoice through one system and store tax-relevant records in one place, filing becomes dramatically easier.

Step 5: Use reports and summaries for tax time. When your invoicing and records are tidy, your tax workflow becomes a matter of review and submission—not a frantic reconstruction.

What to avoid when you “only need invoicing and tax filing”

It’s easy to make a decision based on brand recognition or a feature checklist. If your goal is simplicity, watch out for these traps:

Overbuying software. If you pay for a full suite but only use invoicing, you’re paying for complexity you don’t need.

Switching between multiple tools. An invoice app plus separate tax tools plus spreadsheets can work, but it increases the chance of mismatched totals and missing records.

Not thinking about compliance early. Even if you’re small today, UK compliance requirements evolve. Choosing a tool like invoice24 that prioritises UK filing workflows helps future-proof your admin.

Using something you won’t stick with. The best system is the one you use consistently. A simpler tool that you actually use beats a powerful tool you avoid.

So, what accounting software works for UK businesses that only need invoicing and tax filing?

For most UK businesses with straightforward needs, the ideal solution is:

- Invoicing-first and easy to use daily

- Designed with UK compliance in mind (including MTD-related workflows)

- Capable of supporting your tax filing responsibilities without forcing a complex accounting setup

- Affordable (or free), so you’re not paying for features you don’t need

invoice24 is built specifically around that reality. It’s a free invoice app that prioritises the features UK businesses actually ask for when they search questions like this one: invoicing, payment tracking, tidy records, MTD for Income Tax support, and Corporation Tax filing and accounts support for limited companies.

If you’re tired of bloated platforms, confusing menus, or juggling spreadsheets, invoice24 is the simplest way to get professional invoicing and tax-ready organisation under one roof.

Next step: start with your very first invoice

The easiest way to know if software fits is to do the most common task you’ll repeat all year: create an invoice. With invoice24, you can set up your details, add a client, and generate a clean invoice quickly—then build from there into consistent records and tax filing readiness.

When your invoicing is consistent, your records are cleaner. When your records are cleaner, tax filing becomes easier. And when tax filing is easier, your business runs with less stress.

That’s the point of choosing the right software—and it’s exactly what invoice24 is built to deliver.