On 19 October 2026, online firms charged £20 to £35 a month extra to file VAT returns, on top of their accounts package and mostly plus VAT. Filing it yourself can cost nothing with free software.
Every VAT-registered business has to keep digital records and send its VAT returns through software that works with Making Tax Digital (MTD), unless HMRC has exempted it. Returns are usually due every 3 months. There is no official price list, so the figures below come from firms' own price pages and fee guides, all checked on 19 October 2026. Each firm has a commercial interest, so treat them as the going rate, not a quote.
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What firms charge to file your VAT return
| Firm | What the price covers | Price as published | VAT as shown |
|---|---|---|---|
| Mazuma | VAT returns with MTD filings, an extra on a sole trader package that starts at £38 a month for 20 transactions a month | £20 added to the monthly package price | Package totals shown "Excluding VAT, charged monthly" |
| The Accountancy Partnership | VAT Returns, added to a package. Its sole trader package for turnover of £90,001 to £200,000 is £44.50 a month | £35.00 a month | "All prices shown are per month and exclude VAT" |
| GoForma | VAT Returns added to a package, or its Start + VAT sole trader package with a Self Assessment return | £24 a month extra; £68 a month package | VAT not stated |
| Gorilla Accounting, MTD Complete | Package that includes preparing and submitting VAT returns and year-end accounts | Starting from £79 + VAT, sold as a fixed monthly fee | Plus VAT |
| Accotax fee guide, 11 August 2026 | A quarterly VAT return, described as market pricing | £40 to £100 per return | VAT not stated |
| Protax Consultants, London, 4 June 2026 | A quarterly return from your own figures, or prepared from your records | £75 to £150, or £150 to £350, a quarter | VAT not stated |
These extras sit on top of a package, so the extra alone is not what you pay. The Accountancy Partnership also lists bookkeeping separately, at £20.00 a month for up to 40 transactions, and Mazuma charges £40 a month more for up to 500 transactions.
The yearly cost
| Option | Monthly as published | A year as published | A year with VAT at 20% |
|---|---|---|---|
| Mazuma Basic with the VAT returns extra | £38 + £20, plus VAT | £696 | £835.20 |
| The Accountancy Partnership, £90,001 to £200,000 turnover, with VAT Returns | £44.50 + £35.00, plus VAT | £954 | £1,144.80 |
| GoForma Start + VAT | £68, VAT not stated | £816 | Not stated |
| Accotax range, 4 returns | £40 to £100 a return | £160 to £400 | Not stated |
Gorilla's page advertises a "Transparent, Fixed Monthly Fee", but its price boxes do not say "a month", so it is left out of the yearly sums.
Doing it yourself
| Software | Price as published | What it does |
|---|---|---|
| Pandle free plan | £0 | VAT return submissions ticked; no bank feeds |
| Pandle Pro | £5 / Month (+VAT) | Adds bank feeds |
| 123 Sheets | £19.75 a year + VAT for one taxpayer, first year half price | Bridging software that sends your spreadsheet figures |
| Xero Ignite | £1.80 per month excl. VAT for the first 6 months, then £18 per month | Lists "Submit VAT returns to HMRC" |
| FreeAgent, sole trader | £9.50 a month for the first six months, then £19 a month, excl. 20% VAT; free with some business bank accounts | Lists MTD-compatible VAT returns |
Check that your plan files VAT. QuickBooks says direct VAT submission to HMRC is not available on its Sole Trader Plus plan, and its prices had not loaded when checked. Our MTD software cost guide has more.
What this means for you
In our reading, if your turnover is over the £90,000 VAT threshold, your income before costs is very likely over £50,000 too. GOV.UK says that over £50,000 on a 2024-25 tax return meant using MTD for Income Tax from 6 April 2026, unless exempt. The line is £30,000 for 2025-26 (from 6 April 2027) and £20,000 for 2026-27 (from 6 April 2028). So you may need quarterly updates as well as VAT returns. Ask any firm whether its price covers both: The Accountancy Partnership lists MTD Income Tax quarterly updates as a further £35.00 a month, and GoForma's table does not tick MTD for Income Tax on Start + VAT.
Lateness has its own cost. Each late VAT return earns a penalty point (not your first return after registering or your last after cancelling), and quarterly filers reach the threshold at 4 points, which brings a £200 penalty. Late payment adds interest from the first day, a penalty of 3% of what was unpaid at day 15 once you are 16 days late, and more from day 31.
If you would rather hand it over, our Trades Tax plan is £35 a month or £350 a year including VAT. It will keep your books from your bank feed. Coming later. Not available yet: starts once our HMRC registrations are complete. Once our registrations are complete, we'll send your quarterly updates and tax return to HMRC for you, after you confirm the figures. Our VAT returns add-on is £10 a month including VAT, on the monthly Trades Tax plan only. Our tax plans start once our HMRC registrations are complete. A full accountancy package, such as Gorilla Accounting's MTD Complete, which lists year-end accounts alongside VAT returns, is the better fit if you want those in one place.
Steps to get your VAT return filed for a fair price
- Find your period end in your VAT online account. The return and payment are usually due 1 calendar month and 7 days later.
- Decide whether you will file it yourself in software or hand it over.
- Ask at least two firms for a yearly price in pounds, including VAT, that covers the package, the VAT add-on and bookkeeping.
- Check whether that price also covers MTD for Income Tax quarterly updates.
- Before any return goes to HMRC, check the figures, especially the amount to pay or reclaim.
- Use the free MTD check to see when MTD for Income Tax applies to you, then ask for your quotes.
Our VAT return guide explains the 9 boxes, and the trades section has more on VAT.
Hold your place on the trades waitlist
We’ll email you when Trades Tax opens, with the founding offer while places last. No payment is taken.
Questions people ask
Do I have to pay someone to file my VAT return?
No. Any VAT-registered business can send its own return through compatible software. Pandle's free plan ticks VAT return submissions, and 123 Sheets sends figures from a spreadsheet for £19.75 a year plus VAT in the first year, which is half price.
Is a VAT return fee charged per return or per month?
Both are common. Accotax's August 2026 guide quotes £40 to £100 per quarterly return, while Mazuma, GoForma and The Accountancy Partnership add a monthly charge to a package. Multiply either by a full year before you compare.
When is my VAT return due?
Usually 1 calendar month and 7 days after the end of the period, and the payment must reach HMRC by the same date. A quarter ending 31 December 2026 is due by 7 February 2027. You must send a return even if there is no VAT to pay or reclaim.
What happens if my VAT return is late?
Each late return earns a penalty point (except your first return after registering, your last after cancelling, and one-off returns for an odd period). Quarterly filers reach the threshold at 4 points (annual filers at 2, monthly at 5), which brings a £200 penalty, and another £200 for each later late return while you stay there. Late payment is separate: interest from the first day, and penalties from day 16.
When do I have to register for VAT?
When your taxable turnover for the last 12 months goes over £90,000, or you expect it to go over £90,000 in the next 30 days alone. You can register voluntarily below that.
Sources
- Sending a VAT Return (GOV.UK, checked 19 October 2026)
- Register for VAT (GOV.UK, checked 19 October 2026)
- VAT Notice 700/22: Making Tax Digital for VAT (GOV.UK, checked 19 October 2026)
- Penalty points and penalties if you submit your VAT Return late (GOV.UK, checked 19 October 2026)
- How late payment penalties work if you pay VAT late (GOV.UK, checked 19 October 2026)
- Find out if and when you need to use Making Tax Digital for Income Tax (GOV.UK, checked 19 October 2026)
- Mazuma: Pricing (checked 19 October 2026)
- The Accountancy Partnership: Pricing (checked 19 October 2026)
- GoForma: Packages (checked 19 October 2026)
- Gorilla Accounting: MTD packages (checked 19 October 2026)
- Accotax: How much does an accountant cost for a small business (11 August 2026, checked 19 October 2026)
- Protax Consultants: How much does an accountant cost in London 2026? (4 June 2026, checked 19 October 2026)
- Pandle: Pricing plans (checked 19 October 2026)
- 123 Sheets: MTD VAT bridging software (checked 19 October 2026)
- Xero: Pricing plans (checked 19 October 2026)
- FreeAgent: Pricing (checked 19 October 2026)
- QuickBooks: Pricing (checked 19 October 2026)
This is general information to help you understand the rules. It isn't tailored to your circumstances, so check your own position before acting on it.
Righto Tax is a trading name of NJG Consultancy Ltd, registered in England and Wales, company number 16095900. Registered office: Jubilee House, East Beach, Lytham St Annes, FY8 5FT.
What happens next
- Use the free Making Tax Digital checker to see your own start date and deadlines.
- See what Righto Tax for Trades does for you, and join the waitlist.
- Questions about this page? Email hello@rightotax.co.uk.