What features should you look for in tax return software?

Team Nomi

May 29, 2026
6 minutes read

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Choosing the right software is not only about filing a tax return. It also affects how fast you can work, how accurate your records are, and how well you support your clients. For UK business owners, accountants, and new company directors, having the right tax return software is more important than ever as digital tax rules continue to change.

In this guide, we will cover the key features that truly make a difference, including direct HMRC integration, easy client data collection through tax questionnaires, automated tax calculations, and clear dashboards to track progress. 

We will also look at workflow management, client communication tools such as email and e-sign, and essential compliance features such as validation checks and support for MTD for income tax software, all designed to help you work more efficiently and stay ahead.

What to look for in good tax return software

When reviewing options, focus on practical tools that reduce your workload. The most important features of tax return software include:

1. HMRC Integration

HMRC integration allows your tax software to connect directly with HMRC systems. 

This ensures key client data is pulled automatically into the tax return, reducing manual work and improving accuracy.

1. 1. Pulls employment and income data directly from HMRC records
   2. Reduces manual data entry and human errors
   3. Saves time during the tax return preparation process
   4. Ensures data is always aligned with HMRC information
      

2. Easy Data Collection

Easy data collection helps accountants and businesses gather client information in a simple and organised way. 

It removes the need for repeated follow-ups and makes the process smoother for both sides.

1. Uses a built-in tax questionnaire to collect client details
2. Allows clients to submit information via email or mobile
3. Reduces the need for chasing documents and emails
4. Speeds up the overall onboarding and filing process

3. Automated Calculations

Automated calculations ensure tax figures are accurate and consistent throughout the return process. 

This reduces reliance on manual calculations and improves confidence before submission.

1. Automatically calculates income, tax due, and payments
2. Reduces risk of manual calculation mistakes
3. Provides a clear breakdown of key tax figures
4. Helps verify accuracy before submitting to HMRC

Solutions like Nomi bring these capabilities into a single platform, helping accountants and business owners manage tax returns more efficiently.

Advanced features that save time and effort

Beyond the basics, advanced tools can make a big difference in your daily work. The features of tax return software that stand out include:

1. Dashboard and Reporting

A clear dashboard helps you track deadlines, approvals, and filings in one place. 

It gives you a quick overview of key updates such as pending returns, completed tasks, and new clients, helping you stay organised and in control of your workload.

2. Workflow Management

Software should include a task automation feature that allows you to assign work to different team members using a work pool or task system. 

This is especially useful for accounting firms handling multiple clients, as it ensures tasks are automatically distributed and properly managed, and nothing gets missed.

3. Client Communication Tools

Built-in communication tools let you send emails, SMS, and reminders directly from the system. 

You can also schedule messages and use ready-made templates, which helps save time and keeps client communication consistent and professional.

MTD and compliance features

With digital tax rules expanding, compliance is critical. Your software should fully support MTD for income tax requirements.

Instant Data Fetching: Automatically pulls client employment, pension, and state benefit income records directly from HMRC.

Reduces Errors: Eliminates typos and manual data entry mistakes.

Aligned Records: Ensures your internal data matches HMRC’s records before you even begin the calculation. 

MTD for Income Tax Rollout Timeline in the UK

The UK government is introducing Making Tax Digital (MTD) for Income Tax in phases. Depending on your annual income, you may soon be required to keep digital records and submit updates to HMRC using recognised software. 

• • Wave 1 (Active Now): Mandated for sole traders and landlords with an annual qualifying income over £50,000.
  • Wave 2 (April 2027): The income threshold will reduce to £30,000.
  • Wave 3 (April 2028): The threshold will reduce further to £20,000.

Features that improve client experience

Your clients expect a simple and clear process. The right features of tax return software help you deliver that.

Mobile App Access

Clients can receive notifications, upload documents, and digitally sign returns. This speeds up approvals.

E-Sign Function

No need for printing or scanning. Clients can sign tax returns online in minutes.

Real-Time Updates

Clients can check their tax status, payments, and deadlines anytime.

Conclusion

Choosing the right software now will shape how you manage tax work in the future. The right features of tax return software can save hours, reduce errors, and improve client satisfaction.

If you wait too long, you may fall behind competitors who already use smarter systems.

Why Nomi is a smart choice for UK professionals

Nomi is built for UK accountants, bookkeepers, and business owners. It combines all essential features of tax return software in one platform.

You can manage client data, collect information, review tax calculations, and submit directly to HMRC. It also integrates with bookkeeping and payroll, saving time throughout your workflow. 

Unlike basic tools, Nomi focuses on both efficiency and client experience. This makes it a strong option for those seeking the best self-assessment software in the UK that supports MTD for income tax. 

Don’t risk delays, missed deadlines, or unhappy clients.
Start using Nomi today and take control of your tax return process with confidence.

Frequently asked questions

1. Why is tax return software better than manual filing?
   Ans. Tax return software reduces human error and saves time by automating calculations, data entry, and submission processes.
2. Can tax return software help with multiple clients at once?
   Ans. Yes, most systems are designed to manage multiple clients, allowing accountants to track, organise, and complete returns efficiently in one place.
3. Is cloud-based tax software safe for storing client data?
   Ans. Yes, reputable cloud-based software uses secure encryption and access controls to protect sensitive financial and personal data.
4. Do I still need accounting knowledge to use tax return software?
   Ans. Basic understanding of tax is helpful, but good software is designed to guide users through the process step by step.
5. How often is tax return software updated for UK tax rules?
   Ans. Most professional software is updated regularly to reflect HMRC changes and ensure compliance with the latest UK tax regulations.