VAT Direct

Overview

Built on the Exedra platform, VAT Direct brings return submission together with an optional online cashbook. Spreadsheet users can submit VAT data from CSV files without replacing their current accounting system, making the service useful as a filing route as well as a recordkeeping option.

The main distinction is between filing and keeping records. Basic service offers free bridging for VAT and Income Tax Self Assessment, while its free digital-record service is limited to businesses below the VAT threshold, up to 500 transactions per period, and cash-basis accounts. That is a meaningful constraint: businesses needing standard VAT accounting or handling greater transaction volumes should look beyond the free records option.

Key features

• VAT and Self Assessment filing: VAT calculation and return filing are supported. CSV submissions let spreadsheet-based businesses preserve their existing workflow rather than move to a new accounting system just to submit returns.
• Cloud cashbook: The cashbook keeps VAT and Self Assessment records and supports cash-basis or standard VAT accounting. Its free digital-record service, however, is narrower: cash basis only and no more than 500 transactions per period.
• VAT schemes: The cashbook supports Flat Rate, retail and margin schemes, traditional VAT, EC VAT and the Domestic Reverse Charge, and tracks CIS payments. This breadth helps businesses working with different VAT treatments, though the cashbook does not currently handle FRC Taxonomies.
• Bank and HMRC data: Open Banking can load statements into the cashbook across multiple bank, cash and credit card accounts. An API can provide bank statement and HMRC tax information; users obtain an authorisation token after logging in. Premium services include some Open Banking, Making Tax Digital and other services.
• Security and privacy: The service says it uses anti-fraud headers and offers optional two-factor authentication by text message or a similar method. Its privacy notice says data is processed in the UK and third parties do not access personal data unless the law allows it. Cirrostratus Exedra Ltd states that it is registered with the Financial Conduct Authority for payment services as an account information service provider.

Pricing

Basic service: 0.00 USD per free. It includes free bridging for VAT and Income Tax Self Assessment, plus digital records for businesses below the VAT threshold, capped at 500 transactions per period and restricted to cash basis. This is the relevant option for small businesses that meet those conditions or users who mainly need a free filing bridge.

Premium services: custom pricing. The plan includes some Open Banking, Making Tax Digital and other services; contact the provider for details. It is the route to consider when the free service’s records cap or cash-basis condition does not fit, but the specific premium inclusions and costs should be confirmed before choosing it.

Platforms

VAT Direct is available on web and through an API. The API is useful for accessing bank statement and HMRC tax information, while web access supports the online cashbook and return workflow.

Who it's for

VAT Direct suits smaller businesses below the VAT threshold that keep no more than 500 transactions per period and use cash-basis records, as well as spreadsheet users who want to submit VAT return data without changing their accounting system. Businesses that need standard-basis digital records, exceed the free transaction cap, or rely on FRC Taxonomies should compare other services or ask about premium services first.

Pros and cons

• Pro: Free VAT and Income Tax Self Assessment bridging gives spreadsheet users a filing route without requiring a change of accounting system.
• Pro: The cashbook covers multiple VAT schemes and can bring in statements across bank, cash and credit card accounts.
• Pro: API access to bank and HMRC tax information adds a route for users who need programmatic data access.
• Con: Free digital records are limited to 500 transactions per period and cash basis, which rules out some businesses even if they only need recordkeeping.
• Con: The cashbook does not handle FRC Taxonomies, a drawback for users whose workflows depend on them.
• Con: Premium services have custom pricing and include only some of the wider service set, so buyers need to clarify scope and cost.

Alternatives

For a broader comparison, browse the VAT Software category. Choose LOVAT instead if you want a freemium option with web, mobile and API platforms and a free plan that includes one data-import integration. VAT Sense is an alternative to consider for API-based usage plans with stated monthly request allowances, including a free tier with 100 requests per month. Pick VATlayer if you want an API option whose free plan allows 100 monthly requests for non-commercial use. Vatstack is another API-and-web freemium alternative, with a Developer plan offering unlimited quotes and dummy validations and supplies. Kintsugi offers a free API plan focused on nexus monitoring and liability auditing, rather than VAT Direct’s filing and cashbook combination. BTCHub may suit readers seeking a paid desktop-and-web option with annual VAT filing and bookkeeping imports. VAT MTD is worth comparing if you want an iOS or macOS option with free access and paid single-VAT-number plans. hellotax is another alternative.

Verdict

VAT Direct is a sensible choice for a small business that wants free VAT or Self Assessment bridging, or a cash-basis digital cashbook within the 500-transaction limit. Its combination of CSV submission, VAT-scheme coverage and bank/HMRC data access is useful, but businesses needing higher-volume or standard-basis records should look elsewhere or establish whether custom-priced premium services meet their requirements.