10 Best features of tax return software: 2026 updates

Choosing tax return software is about more than simply filing a return. The right solution can reduce manual work, improve accuracy, organise client information and help accountants manage deadlines more easily.

But what should I look for in tax software? The answer depends on your workload, client needs,  and the tax rules you need to follow.

For UK accountants and tax professionals, useful features include HMRC integration, automated calculations, client data collection, workflow management, validation checks, secure document storage and Making Tax Digital (MTD) support.

 

What are the key features of tax return software?

Here are the key features of tax return software:

Feature	Why is it important?
HMRC integration	Reduces manual data entry
Automated calculations	Helps reduce calculation errors
Direct HMRC submission	Makes filing easier
Client data collection	Simplifies gathering information
Workflow management	Helps teams manage multiple returns
Deadline tracking	Reduces the risk of missed deadlines
Validation checks	Helps identify errors before submission
Document management	Keeps client records organised
MTD support	Helps meet digital tax requirements
Reporting	Gives firms a clear view of their workload

1. HMRC Integration

One of the most important tax return software features is HMRC integration.

Compatible Self Assessment software can retrieve certain information from HMRC, including PAYE details, private pension income, taxable social security benefits, National Insurance information, and Marriage Allowance details.

This can help accountants:

• • Reduce manual data entry
  • Save time when preparing returns
  • Reduce typing errors
  • Keep information aligned with HMRC records
  • Prepare client returns more efficiently

When comparing tax management software options, check exactly what HMRC data the software can retrieve and which tax returns it supports.

 

2. Easy client data collection

Collecting information from clients can take a significant amount of an accountant’s time. Good tax return software should make this process simple.

Look for features such as online questionnaires, document uploads, client portals, and automated reminders.

For example, a built-in tax questionnaire can help accountants collect the information needed to prepare a return.

Useful data collection features include:

• • Online tax questionnaires
  • Client document uploads
  • Email or mobile access
  • Automated reminders
  • Centralised client information
  • Digital approval processes

Instead of managing information across multiple emails and spreadsheets, accountants can keep the process in one place.

 

3. Automated tax calculations

Manual calculations can take time and increase the risk of mistakes. Automated calculations are therefore an important feature when comparing tax software.

Good software should calculate relevant tax figures based on the information entered or imported into the system.

Look for software that can help with:

• • Income tax calculations
  • National Insurance calculations
  • Payments on account
  • Taxable income
  • Tax liability
  • Relevant allowances and reliefs

Automated calculations do not replace professional tax knowledge. Instead, they reduce repetitive work and give accountants a clearer view of the figures before submission.

 

4. Direct submission to HMRC

The ability to submit a tax return directly to HMRC can make the filing process much simpler.

HMRC allows compatible commercial software to be used to submit Self Assessment tax returns. Accountants should check whether their chosen software supports the specific return types and supplementary pages they need.

A good tax return solution should make it easy to:

1. Prepare the return
2. Review the information
3. Identify errors or missing details
4. Get client approval
5. Submit the return
6. Keep a record of the submission

This creates a more organised process from preparation to filing.

 

5. Dashboard and reporting

A clear dashboard is particularly useful for accountants managing multiple clients.

Instead of checking individual records to find out what needs attention, a dashboard can provide an overview of the practice’s tax workload.

Useful dashboard information can include:

• • Returns in progress
  • Returns awaiting client information
  • Completed returns
  • Upcoming deadlines
  • New clients
  • Outstanding tasks

Good reporting features can also help managers understand workloads and identify tasks that need attention.

 

6. Workflow and task management

Tax return preparation often involves several people. One team member may collect information, another may prepare the return, and another may review it before submission.

This is where tax return management software can be useful.

Look for workflow tools that allow you to:

• • Assign tasks to team members
  • Set deadlines
  • Track progress
  • Create recurring tasks
  • Allocate work through task pools
  • Monitor outstanding work

For example, Nomi’s task automation feature helps accounting teams organise and distribute work.

The goal is simple: everyone should know what needs to be done, who is responsible, and when it needs to be completed.

 

7. Tax return validation and error checking

Before submitting a return, accountants need to check that the information is complete and accurate.

Validation features can help identify problems before submission.

Depending on the software, these checks may help identify:

• • Missing information
  • Invalid entries
  • Calculation issues
  • Inconsistent figures
  • Incorrect or incomplete data

This is an important part of tax form management systems, particularly for firms processing a large number of returns.

However, validation tools should support professional review rather than replace it.

 

8. Secure document management

Tax returns involve sensitive financial and personal information. Your software should therefore provide secure ways to store and manage client documents.

Look for features such as

• • Secure document storage
  • Controlled user access
  • Client document uploads
  • Document history
  • Digital records
  • Secure client portals

Keeping documents and tax information together can also make it easier to find supporting information when a return needs to be reviewed later.

 

9. Client communication and E-Signatures

Tax return preparation often involves repeated communication with clients.

For example, an accountant may need to:

• • Request missing information
  • Send reminders
  • Ask for approval
  • Explain tax calculations
  • Request a signature
  • Confirm successful submission

Built-in communication tools can reduce the need to switch between different systems.

Useful features include:

• • Email
  • SMS
  • Automated reminders
  • Email templates
  • Client notifications
  • E-signatures

An e-signature feature can also remove the need to print, sign, scan and email documents back and forth.

 

10. Mobile access

Clients and accountants do not always work from a desktop computer. Mobile access can make it easier to manage tax information while working remotely.

A mobile-friendly tax system can allow clients to:

• • Upload documents
  • Respond to requests
  • Receive notifications
  • Review information
  • Approve documents
  • Complete required tasks

For accountants, mobile access can also provide visibility of important tasks and client updates while away from the office.

 

MTD for Income Tax support

Making Tax Digital is another important factor when deciding what should I look for in tax software.

From 6 April 2026, sole traders and landlords with qualifying income of more than £50,000 need to use MTD for Income Tax. The threshold reduces to more than £30,000 from 6 April 2027 and more than £20,000 from 6 April 2028.

Compatible MTD software needs to support digital record keeping and the required submissions to HMRC. HMRC also requires compatible software to create, store and correct digital records and send quarterly updates.

MTD should therefore be an important consideration when comparing tax management software options.

Choosing software that supports the requirements you will need in the future can help avoid having to change systems later.

 

How Nomi supports tax return management

Nomi brings tax return preparation and practice management features together in one platform for UK accountants and bookkeepers.

The platform can help accountants collect client information, manage tax returns, review calculations and submit returns to HMRC. It also connects with bookkeeping software and payroll, helping reduce duplicate work across different parts of the practice.

Features such as tax questionnaires, task automation, client communication and e-signatures can help organise the process from collecting information through to approval and submission.

Start a free trial of Nomi to explore how the platform can support your tax return workflow.

 

Frequently asked questions

1. What features should tax compliance software include to cover business needs end-to-end?
   Ans: Tax compliance software should include tax calculations, HMRC integration, reporting, document management, workflow automation, compliance checks, and secure data storage.

2. What features should a UK enterprise look for in an indirect tax audit management platform?
   Ans: A UK enterprise should look for VAT compliance, audit trails, automated checks, reporting, document management, risk alerts, and HMRC-ready records.

3. What is the best software for Self Assessment tax returns?
   Ans: Nomi is a strong option for Self Assessment tax returns, offering HMRC integration, automated calculations, client management, and direct submission.

4. What is the best free software for filing tax returns?
   Ans: Nomi offers tax return software with useful features for accountants, including HMRC integration, client management, calculations, and direct submission.