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QTax vs FreeAgent: Which Is Better for UK Sole Traders?

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Quick answer

Compare QTax and FreeAgent for UK Self Assessment. Features, pricing, MTD support, and which is the best fit for sole traders and freelancers.

TL;DR — Our Verdict

QTax is purpose-built for sole traders filing Self Assessment, with AI-powered document capture and ACCA-regulated review at £49.99/year. FreeAgent is a full accounting suite designed for small businesses, agencies, and limited companies at £19–38/month. Choose QTax if you want fast, guided Self Assessment filing. Choose FreeAgent if you need invoicing, project tracking, and multi-user accounting.

Quick Comparison

FeatureQTaxFreeAgent
Best forSole traders, freelancers filing Self AssessmentSmall businesses, agencies, limited companies
Pricing£49.99/yearFrom £19/month (£228/year)
MTD ITSAYes — built-inYes
HMRC FilingDirect submissionDirect submission
AI FeaturesReceipt scanning, auto-categorisation, tax calculationsBank feed auto-matching
Professional ReviewACCA-certified accountant review includedNot included (separate accountant needed)
InvoicingNot includedFull invoicing and estimates
Bank FeedsNot includedYes — major UK banks
Free Trial30 days30 days

Who Is QTax For?

QTax is designed specifically for UK sole traders and freelancers who need to file Self Assessment tax returns. It focuses on making the tax return process as simple as possible:

  • AI document capture — photograph receipts and invoices, and QTax extracts and categorises the data automatically
  • Guided wizard — step-by-step questions tailored to your profession (landlord, freelancer, contractor, etc.)
  • Real-time tax calculations — see your tax liability update as you enter information
  • ACCA-regulated review — a qualified accountant checks your return before HMRC submission
  • MTD ITSA compatible — ready for Making Tax Digital quarterly submissions from April 2026

Who Is FreeAgent For?

FreeAgent is a full-featured cloud accounting platform aimed at small businesses, freelancers, and agencies. It covers much more than Self Assessment:

  • Invoicing and estimates — create and send professional invoices
  • Bank feeds — automatic import from major UK banks
  • Project tracking — time tracking and project profitability
  • Multi-currency — support for international transactions
  • Payroll — basic payroll for small teams
  • Self Assessment and Corporation Tax filing

Pricing Comparison

PlanQTaxFreeAgent
Sole Trader£49.99/year£19/month (£228/year)
With AccountantIncluded (ACCA review)£19–38/month + accountant fees
Free Trial30 days30 days

QTax is significantly cheaper for sole traders who primarily need Self Assessment filing. FreeAgent's higher price reflects its broader feature set including invoicing, bank feeds, and project management.

When to Choose QTax

  • You are a sole trader or freelancer who needs to file Self Assessment
  • You want AI-powered receipt scanning and categorisation
  • You want professional accountant review included in the price
  • You prefer a guided, wizard-style filing experience
  • You want MTD ITSA compliance at a low annual cost
  • You do not need invoicing or bank feed integration

When to Choose FreeAgent

  • You need full accounting software (invoicing, bank feeds, reporting)
  • You run a limited company or partnership
  • You need multi-user access for your team
  • You need project tracking and time management
  • You want payroll functionality
  • You already have an accountant and need a platform they can access

The Bottom Line

For sole traders focused on Self Assessment, QTax offers a more affordable, streamlined experience with AI assistance and professional review built in. FreeAgent is the better choice if you need comprehensive accounting features beyond tax filing.

Try QTax free for 30 days

AI-powered Self Assessment for UK sole traders. File to HMRC in minutes.