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HMRC Free Filing Software Is Closing March 2026 — What Now?

HMRC Free Filing Software Is Closing March 2026 — What Now?

HMRC will stop providing free Corporation Tax filing software on 31 March 2026. If you've been using HMRC's own online service to file your CT600, you need a new plan.

What's Happening?

HMRC has announced that its free online Corporation Tax service will be withdrawn from 31 March 2026. After this date, you will no longer be able to file your CT600 return using HMRC's own website.

This affects approximately 200,000-400,000 company directors who currently file their own returns without an accountant.

Why Is HMRC Doing This?

HMRC is moving to a model where all tax filings go through third-party commercial software, similar to how VAT filing already works under Making Tax Digital. They want to:

  • Reduce costs of maintaining filing software
  • Shift development burden to commercial providers
  • Standardise submission via APIs and XML/iXBRL formats
  • Focus their resources on compliance and enforcement

What Are Your Options?

Option 1: Use Filing Software (Cheapest)

Purpose-built CT600 filing software like Taxpipe lets you file directly with HMRC:

  • £59 per filing — no subscription, no ongoing costs
  • Generates the CT600 XML and iXBRL computations automatically
  • Validates against HMRC rules before submission
  • Guided wizard walks you through every box

This is the closest replacement to what HMRC offered for free.

Option 2: Hire an Accountant (Most Expensive)

A chartered accountant will prepare and file your CT600 for you:

  • £300-£1,500+ per year depending on complexity
  • They handle everything including accounts preparation
  • Recommended if your tax affairs are complex
  • Overkill if you're a simple trading company or dormant

Option 3: Use Full Accounting Software

Packages like Xero, FreeAgent, or Sage include CT600 filing:

  • £15-£50+ per month (£180-£600/year)
  • Include bookkeeping, invoicing, and bank feeds
  • Good if you need accounting software anyway
  • Expensive if you only need annual CT600 filing

What Happens If You Don't File?

Missing your CT600 deadline triggers automatic penalties:

DelayPenalty
1 day late£100
3 months lateAnother £100
6 months late10% of unpaid tax
12 months lateAnother 10% of unpaid tax

Plus daily interest on any unpaid Corporation Tax from the payment deadline (typically 9 months after your accounting period).

When Do You Need to Act?

Your CT600 is due 12 months after the end of your accounting period. But your Corporation Tax payment is due just 9 months and 1 day after the period ends.

If your year-end is 31 March 2026:

  • Payment due: 1 January 2027
  • CT600 filing due: 31 March 2027

But don't wait — HMRC's free service closes 31 March 2026. Any return not filed by then will need commercial software.

The Best Replacement for HMRC Free Filing

Taxpipe was built specifically for company directors who used to file with HMRC directly:

  • ✅ Same simple process — answer questions, we generate the return
  • ✅ £59 one-off — cheaper than any subscription
  • ✅ No accounting knowledge needed
  • ✅ Files directly with HMRC
  • ✅ Instant validation — know your return is correct before submission

Start filing your CT600 now — £59, done in under an hour.

Ready to file your CT600?

Taxpipe walks you through every step — no accountant needed.

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