If you run a limited company in the trades, the right corporation tax software for UK small businesses can save you hundreds of pounds a year in accountant fees.
Do You Actually Need Software, or Should You Just Hire an Accountant?
If your company is straightforward (one director, trading income, no employees other than yourself, no R&D claims, no group structures), you can almost certainly file your own corporation tax return using software. It is not as complicated as it sounds.
Every UK limited company must file a CT600 corporation tax return with HMRC each year. HMRC’s own free filing service closes on 31 March 2026, which means from April 2026 onwards, all companies must use commercial software to file. If you have been using HMRC’s free tool, you need to switch now.
Software handles the tax calculations automatically. You enter your figures from your accounts and the software works out your corporation tax liability, generates your accounts in the format HMRC requires, and submits everything directly. You do not need to understand the underlying technical detail.
That said, an accountant is worth paying for if your situation is more complex: you have staff on payroll, you have made a loss you want to carry back, you are claiming capital allowances on expensive plant, or your profits are approaching the higher rate threshold of £250,000. In those cases, a decent accountant more than pays for themselves.
For a plumber, electrician, or builder running a straightforward sole-director Ltd with simple income and expenses, the software options below are all you need.
How We Assessed These Tools
The three tools reviewed here are the ones most commonly recommended for small UK limited companies filing their own returns. We assessed them on five criteria that matter for a trade business:
- How easy they are to use without accounting training
- Whether they handle both the CT600 and Companies House accounts in one place
- Whether they file directly to HMRC without additional steps
- Pricing and value for a single-company owner
- Whether they are still available and actively supported in 2026
One of these products, TaxFiler, is no longer available as a standalone tool. We cover its history and what replaced it below.
TinyTax Review
Overview
TinyTax is a web-based platform built specifically for UK micro-entity limited companies. It handles the CT600 to HMRC and the statutory accounts to Companies House in a single process. You do not need to file them separately.
It is aimed squarely at company directors filing their own returns, not at accountants managing dozens of clients. The interface is clean, uses plain English throughout, and guides you step by step.
Key Features
TinyTax pulls your company details automatically from Companies House, so you are not re-entering information you have already registered. You enter your profit and loss figures and balance sheet totals, and the software calculates your corporation tax automatically, including marginal relief if your profits fall between £50,000 and £250,000.
It generates your accounts in the format required for HMRC and Companies House submission, then files both in one click. You can also import a trial balance from your bookkeeping software using a CSV file, or let the built-in AI tool map it to the correct fields for you.
TinyTax also fetches your prior year data directly from HMRC, so if you are switching from another tool or from HMRC’s own free service, you are not starting from scratch.
Pricing
- Dormant company: £20/year
- Solo (one trading company): £59/year
- Portfolio (up to 3 companies): £99/year
You can prepare and preview your CT600 and accounts for free. You only need to pay when you file. There is no monthly subscription and no per-filing charge on top.
Pros
- Lowest cost for a single trading company at £59/year
- Handles CT600 and Companies House accounts in one workflow
- No accounting jargon: designed for non-accountants
- Pulls prior year data from HMRC
- Built-in guidance on every step
- Fully web-based: no software to install
Cons
- Only supports micro-entity companies (turnover under £1m, balance sheet under £500k, fewer than 10 employees. You need to meet at least two of three)
- Does not support R&D credits, director’s loans with complex treatments, or group structures
- Does not produce full FRS 102 accounts, only FRS 105 micro-entity accounts
- Newer product: less of a track record than TaxCalc
Who It Suits
Any sole-director limited company in the trades that meets the micro-entity thresholds and has a straightforward set of accounts. If you are a plumber or electrician paying yourself a small salary with dividends and no employees, TinyTax is almost certainly all you need.
TaxCalc Review
Overview
TaxCalc has been a fixture in UK tax software for over 20 years. It started out aimed at accountancy practices and has grown into a comprehensive suite covering personal tax, partnership tax, corporation tax, VAT, and accounts production. It remains widely used by small accountancy firms across the UK.
It is substantially more capable than TinyTax, and substantially more complex. The interface assumes some familiarity with tax returns and accounting concepts.
Key Features
TaxCalc covers all CT600 supplementary pages, including those for R&D credits, loans to participators, group relief, and creative industries reliefs. If your company has anything unusual going on, TaxCalc can handle it where TinyTax cannot.
It offers two entry modes: a “SimpleStep” guided questionnaire, and a direct form-entry mode that mirrors the HMRC forms. Accounts production is available as a separate (and additional) module for those who need to produce their statutory accounts within the same system.
TaxCalc is available as desktop software (installed on your computer) or via a cloud version for practices.
Pricing
TaxCalc does not publish a single clear price for the Limited Company product on its website. Based on independent research and user reports, the annual licence for the individual Limited Company product starts at around £145/year. If you also need accounts production, that is an additional cost. Practices pay more on a subscription model. Confirm current pricing directly on the TaxCalc website before purchasing.
Pros
- Comprehensive: handles all CT600 supplementary pages
- 20+ years of development and a solid track record
- Used and trusted by many UK accountants
- Covers more complex company situations
- Good validation and error-checking before submission
Cons
- More expensive than TinyTax for a simple sole-director Ltd
- Accounts production is a separate module, adding cost
- Interface assumes accounting knowledge: steeper learning curve
- Desktop software requires installation and annual updates
- More features than most trade businesses will ever use
Who It Suits
A limited company with more complex affairs: multiple directors, significant capital allowances, R&D claims, or group structures. Also suited to anyone who already uses TaxCalc for their personal tax return and wants to keep everything in one place.
TaxFiler / IRIS Elements Review
What Happened to TaxFiler?
TaxFiler is no longer available. IRIS, which acquired TaxFiler in 2018, shut the product down in April 2025. All TaxFiler accounts were migrated to IRIS Elements, IRIS’s cloud-based compliance platform. If you search for TaxFiler now, you will find it redirects to IRIS’s website.
This matters because TaxFiler had a strong reputation as an affordable, user-friendly option for small practices and sole directors. IRIS Elements, while it covers the same ground, is a different product with a different focus.
What Is IRIS Elements?
IRIS Elements is a cloud-based accountancy platform aimed at accountancy practices, not individual company directors filing their own returns. It covers corporation tax, personal tax, accounts production, VAT, and practice management tools.
The product is designed for firms managing multiple clients. It is not really aimed at a plumber or builder who wants to file one CT600 a year.
Pricing
IRIS Elements does not publish fixed pricing publicly. It is subscription-based, calculated per user and per module. Independent reports suggest costs starting from around £200/year for the tax and accounts module alone, with practice management tools adding further cost. You need to request a demo or quote from IRIS directly.
Pros
- Covers the full range of tax and accounts needs
- Cloud-based, accessible from any device
- Regularly updated to keep pace with HMRC changes
- 98%+ HMRC acceptance rate cited by the company
Cons
- TaxFiler no longer exists: if you liked TaxFiler, IRIS Elements is a different product
- Aimed at practices, not individual directors
- Pricing is opaque and higher than the alternatives reviewed here
- Mixed reviews from former TaxFiler users on the migration experience
- Overkill for a sole-director trade business
Who It Suits
IRIS Elements is better suited to accountancy practices than to a solo trade business owner filing their own return. If your accountant uses IRIS Elements and you are looking at what they use, that explains its presence here. For a self-filing director in the trades, it is unlikely to be the right fit.
| Tool | Price | CT600 + Accounts in one workflow | Best for |
|---|---|---|---|
| TinyTax Top pick | £59/yr | ✓ Yes | Sole-director micro-entity Ltd companies |
| TaxCalc | £145+/yr | ✗ Extra cost | Complex companies, accountancy practices |
| TaxFiler / IRIS Elements | £200+/yr (quote) | ✓ Yes | Accountancy practices (not sole directors) |
Verdict
For a sole-director limited company in the trades (a plumber, electrician, joiner, or builder with a straightforward set of accounts), TinyTax is the clear recommendation. It is the cheapest option at £59 a year, it was designed for exactly your situation, and it handles everything in one place without requiring accounting knowledge.
TaxCalc is worth considering if your company has more complex needs: you are claiming R&D credits, you have loans from the company to directors, you have associated companies, or you already use TaxCalc for your personal Self Assessment return and want everything integrated. Expect to pay more and to spend more time getting to grips with the software.
TaxFiler no longer exists. IRIS Elements replaced it but is aimed at accountancy practices. Unless your accountant is using it on your behalf, it is not a practical option for a sole director filing their own return.
One more thing worth noting: HMRC’s free filing service closes on 31 March 2026. If you have been relying on that, you need to pick a software option before then. TinyTax is the most straightforward replacement.
TinyTax is the straightforward pick for any sole-director limited company in the trades. At £59 a year, it covers your CT600 and your Companies House accounts in one step, without requiring any accounting knowledge. If your company is straightforward, that is all you need.
