Digital Receipts & Paperless Accounting: What You Need to Know.

As HMRC and Companies House push for digital-first compliance, paper-based systems are becoming a liability. They’re slower, more error-prone, and harder to manage especially as your client base grows.

Switching to digital receipts and paperless workflows is one of the simplest ways to modernise your practice. It saves time, increases accuracy, and puts you in a stronger position ahead of changes like Making Tax Digital for Income Tax.

What Are Digital Receipts?

Digital receipts are electronic records of financial transactions - typically received via email, downloaded as PDFs, or captured through apps. They're stored securely in the cloud and often automatically matched to accounting data.

You’ll find them used across:

• Online purchases

• Business expenses

• Retail transactions

• Supplier invoices

  
  

They integrate easily with cloud accounting software, reducing manual entry and streamlining reconciliation.

Why go paperless?

Moving away from paper isn’t just about convenience, it’s a smarter way to run your firm.  

They’re faster to manage, easier to store, and integrate directly with cloud-based accounting platforms. Gone are the days of lost paperwork, manual data entry, and endless filing.

Going paperless brings a range of benefits. 

1. It saves time -  Automated data entry and expense matching means less admin and more time for meaningful work.

2. Accuracy also improves - when receipts are captured digitally and linked to transactions, errors drop dramatically. 

3. Organisation becomes simpler too, with receipts stored by client, date, or project and searchable in seconds.

From a compliance perspective, a digital trail makes audits, HMRC reviews, and year-end reporting far less stressful. And as a bonus, ditching paper reduces waste and presents your firm as modern and efficient - something clients increasingly expect.

What’s Holding You Back?

Firms sticking with paper often face:

• Lost or faded receipts

• Slower workflows and duplicated effort

• Frustration during year-end or audit periods

• Difficulty scaling as client volume grows

  
  

If you’re still manually collecting or scanning paperwork, it’s likely costing more time (and accuracy) than you think.

What You Need to Go Paperless

Transitioning to paperless accounting doesn’t need to be disruptive. Start with a few core tools: cloud accounting software with receipt upload capability, a secure document management system, and mobile apps for capturing receipts on the go. Develop consistent naming conventions and train your team on best practices.

Then, choose one process or client and test your new system. Build on what works. Over time, digitisation becomes second nature and far more scalable than paper ever was.

How a Practice Platform Can Help

Platforms like Accounting Flow bring it all together in one place. Features include:

• HMRC & Companies House integrations: Auto-fetch data for faster compliance checks

• Bookkeeping sync: Connect accounting data directly to task workflows

• Automated client onboarding: Smart forms, engagement letters & digital signatures

• Email integration: Manage and store emails inside your workflow

• Client portal:  branded, Secure space for uploads and collaboration

• Task automation: Assign, track, and manage work with built-in workflows

• AI assistant: Helps draft emails, chase info, and keep tasks moving

  
  

This helps your whole team and your clients work faster, cleaner, and with fewer errors.

Going paperless isn’t about being trendy. It’s about staying compliant, working more efficiently, and freeing your team from avoidable admin.

Start small. Pilot with one process or client. Build confidence with simple wins. And when you’re ready to scale, the right platform will grow with you.