How Bookkeeping Software Helps with VAT Submissions

Team Nomi

May 21, 2025
4 minutes read

Are you tired of VAT stress? If you’ve ever worried about making mistakes or missing deadlines, bookkeeping software has simplified the process, making VAT returns quicker, more accurate, and straightforward. With features like automated VAT filing and digital record keeping, these tools ensure compliance with HMRC regulations while saving valuable time.

In this blog, we will explain how bookkeeping software helps in VAT management, the benefits of automated VAT filing, and why switching to digital solutions benefits businesses of all sizes.

Why VAT submissions are challenging without Bookkeeping Software

Before looking at the advantages of bookkeeping software, it’s important to understand the traditional challenges of VAT submissions:

1. Manual Calculations produce Errors – Filing VAT returns manually increases the risk of mistakes, which can result in penalties from HMRC.
2. Time-Consuming Processes – Compiling invoices, receipts, and expense records takes hours, diverting attention from core business activities.
3. Difficulty in Tracking Deadlines – Missing a VAT deadline due to confused record-keeping can lead to fines.
4. Complex Compliance Rules – VAT rules change frequently, and staying updated requires constant effort.

These challenges highlight why businesses are moving towards bookkeeping software for smooth VAT returns.

How Bookkeeping Software helps VAT submissions

Bookkeeping software automates VAT calculations, ensures MTD compliance, and reduces errors. Let’s see how Bookkeeping Software helps in VAT submission:

1. Automated VAT calculations

One of the biggest advantages of bookkeeping software is its ability to automatically calculate VAT liabilities. Software like Nomi instantly applies the correct VAT rates to transactions, eliminating manual errors. This automation ensures accuracy and saves time on manual work.

2. Real-Time digital record keeping

HMRC’s Making Tax Digital (MTD) initiative requires businesses to maintain digital records for VAT-registered companies. Nomi’s bookkeeping software automatically logs all transactions in a compliant format, ensuring you meet MTD requirements.

Benefits include:

• • Secure cloud storage of invoices, receipts, and expenses.
  • Easy retrieval of records during HMRC audits.
  • Reduced paperwork and physical filing.

3. VAT return submissions

Submitting VAT returns directly to HMRC is now effortless with automated VAT filing. Nomi’s bookkeeping software integrates with HMRC’s systems, allowing you to:

• • Preview VAT liabilities before submission.
  • File returns with a single click.
  • Receive quick confirmation from HMRC.

This removes the need for manual form-filling and reduces last-minute stress before deadlines.

4. Automated reminders & deadline alerts

Missing a VAT deadline can result in penalties. Bookkeeping software sends automatic reminders for upcoming dues, ensuring you never face penalties for late filing.

For example, Nomi’s bookkeeping software tracks dates and notifies users in advance.

5. MTD authorised software compliance

HMRC requires businesses to use MTD-authorised software for VAT submissions. Ensuring:

• • Smooth digital submissions to HMRC.
  • Automatic updates when VAT rules change.
  • Full compliance with Making Tax Digital regulations.

This eliminates the risk of non-compliance while smoothing your VAT processes.

The future of VAT management

With HMRC pushing for full digital tax compliance, adopting bookkeeping software is no longer optional, it’s essential. The benefits are:

• • Fewer Errors, Automation reduces human mistakes.
  • Faster Processes, Submitting VAT returns takes minutes, not hours.
  • Better Compliance, Stay updated with changing VAT laws.
  • More Time for Business Growth, Focus on strategy instead of paperwork.

For small business owners, accountants, and bookkeepers, benefiting from bookkeeping software for VAT submissions is a better option. From automated VAT filing to digital record keeping, these tools simplify compliance, reduce stress, and improve accuracy.

Nomi’s Bookkeeping software revolutionises VAT compliance for UK businesses. These digital platforms automate the entire VAT process, from calculations to submissions, ensuring full compliance with HMRC’s Making Tax Digital (MTD) requirements.

Bookkeeping software helps in VAT submission, saving your time, reducing errors, and improving compliance. 

If you want to make your tax preparation, book a demo and try Nomi with a 30-day free trial and see why it’s the preferred bookkeeping software for VAT submissions.