Tax software market set to grow exponentially

There’s no doubt that corporate tax software is an extremely useful addition to any business’s tax management infrastructure. Over the next decade, and further into the future, the usage and scale of tax software are set to continue growing exponentially. But why?

The scale of ongoing growth

It’s estimated that the tax software market is expected to grow at 10.5% CAGR from now until 2027. Businesses of all sizes are starting to understand the key benefits that software designed to handle their tax affairs can offer, leading to continual growth in uptake and prevalence across many industries.

Why is this happening?

Put simply, this is because dedicated tax software makes the process of handling business tax easier. Tax has long been a difficult prospect for businesses, as they have to keep accurate records and file their returns in line with extremely tight regulations and instructions. For so long, many businesses have outsourced to specialist accountants who are willing to handle that hard work for them. However, outsourcing to an accountant can be an expensive venture, which can potentially leave smaller businesses to fend for themselves if they can’t afford it. Developers of this software are aware of how important it is to have highly functional software applications that can accommodate these needs. Which is why some developers may look at how to refactor monolithic to microservices for the benefit of the software. This means that they do not need to redevelop an entire system which can cost a lot more and be risky. The software will need to be thoroughly tested to ensure it works correctly, but if it helps businesses achieve what they need to, then it seems like the best course of action.

By using tax software, businesses of all sizes can have accurate and reliable tax calculations managed for them, without the need for dedicated financial teams. Tax software can differentiate between different payments and income streams, and as technology has continued to develop, it can even automate large amounts of the process. All of this has seen a considerable uptake in the use of software as it is significantly more affordable than outsourcing.

Money isn’t everything, though, and for many businesses, the improved accuracy that tax software provides has driven its increase in uptake. The only direct human involvement required while working with tax software is data entry. After giving the software the data to work with, it can make all of your calculations for you without being prone to making mistakes, getting tired, or slowing down because it needs a break. Tax mistakes can be expensive and complicated to amend, so software’s growth in popularity is no surprise.

Tax software makes organising your business’s tax affairs:

  • Easier
  • Simpler
  • Faster
  • Cheaper

The tax software market is growing exponentially and will continue to do so long into the future, as it allows businesses to operate with maximum efficiency. If you’re looking for corporation tax software to benefit your business, contact our experts at BTC Software today.