Tax return software helps individuals or businesses prepare for and file income, corporate and other tax returns, including VAT. Typically, it's faster and more accurate than using spreadsheets or paper-based processes. Tax software also helps business's comply with tax legislation in their jurisdiction.
Tax software works by enabling businesses to track all of their income, expenses, and sales in one place. This type of software also helps prevent common bookkeeping errors. It generates a report for the business owner or their accountant detailing potential liabilities. The business owner can then work with an accountant prior to filing a return online.
Spreadsheets are free to use, but they won't help businesses comply with tax legislation. Sage Accounting starts at €12+VAT per month. You can add additional features such as support for multi-currencies for an additional amount.
If you're self-employed, you need to file a tax return each year. It's easy to do this with accounting software as it gives you one place to prepare and manage tax returns to ensure accuracy, and it gives you a way to easily collaborate with your accountant if you need help.