TapTax vs OnlineInvoices
Generic web billing, or invoicing built for UK tax

People searching for "online invoices" usually want one thing: a way to make and send an invoice without installing anything. OnlineInvoices, at onlineinvoices.com, is one answer, browser-based billing software sold worldwide and priced in dollars. TapTax is another, a UK tax app that sends invoices from the web or your phone.

The difference is how much of the UK each one knows about. OnlineInvoices' website had no reference to pounds, VAT, HMRC or Making Tax Digital when we read it on 7 October 2026. TapTax was built around all four.

Side by side

Sources: OnlineInvoices plans, the OnlineInvoices homepage and HMRC's find software service, checked 7 October 2026. The plans page shows "$" without naming the currency.

What OnlineInvoices does well

OnlineInvoices is straightforward billing that runs anywhere you have a browser. It sends recurring invoices and automatic follow-up reminders, turns accepted quotes into invoices, and takes online payments through several gateways, including Stripe and PayPal. Its volume tiers are generous above the entry level: 300 invoices a month on Silver at $9.95 is more than any sole trader needs. For a business that invoices in several countries and does its tax elsewhere, it is a reasonable, low-cost tool.

What it leaves to you in the UK

A UK sole trader needs more from an invoice than a tax line.

If you are VAT-registered, HMRC expects your VAT number, the VAT rate and amount for each line and the total VAT on the invoice. Our guide to what a UK invoice must include lists every item. TapTax adds VAT per line and puts your VAT number on the invoice when you are registered, and leaves VAT off when you are not, which is correct for most sole traders under the £90,000 threshold. On OnlineInvoices you would set that up and check it yourself.

When a business client pays late, UK law gives you statutory interest at 8% above the Bank of England base rate and fixed compensation of £40, £70 or £100. TapTax can add both to its reminders. OnlineInvoices' site did not mention late-payment interest.

VAT invoice

An invoice a VAT-registered business must issue to another VAT-registered business, showing its VAT number, the VAT rate and amount, and the other details HMRC lists.

And under Making Tax Digital, your income and expenses have to reach HMRC as quarterly updates through compatible software. OnlineInvoices does not do that, so you would export your figures into separate MTD software every quarter.

What TapTax adds after the invoice

TapTax reads the other side of your records. Photograph a receipt or upload a supplier bill and it reads the supplier, date, VAT and total, checks that they add up, and matches the document to its payment on your bank statement. OnlineInvoices lets you attach a photo of a receipt, but does not read it.

Then TapTax turns your records into your quarterly update, for sole trader income on every paid plan and UK and overseas property income on Pro. Your income is counted from the payment on your bank statement, so a paid invoice is never counted twice.

What a year costs

For a UK sole trader sending 20 invoices a month and filing under Making Tax Digital:

• OnlineInvoices Silver plus separate MTD software: $119.40 a year on monthly billing, before any annual discount and currency conversion, plus the MTD software.
• TapTax Starter: £49 a year on the annual plan, with invoicing, receipt reading and every quarterly update.

Moving from OnlineInvoices to TapTax

Switching invoicing apps mid-year is less work than it sounds, because nothing about your past invoices has to move.

1. Keep your old invoices where they are. They are your record of what you billed, and you must keep business records for at least 5 years after the 31 January deadline for the tax year. Export them as PDFs if you are closing your OnlineInvoices account.
2. Add your regular clients once, with their payment terms. TapTax uses the terms to set each due date, and our invoice due date calculator shows how they work.
3. Build a rate card of the jobs or services you sell at your usual prices, so a new invoice is a few taps.
4. Note where your numbering changes. TapTax numbers your invoices itself, in one unbroken run (INV-001, INV-002 and so on). Keep a note of your last OnlineInvoices number with your records, so anyone checking can see where one run ends and the next begins. Our guide to invoice numbering explains why a clear sequence matters.
5. Import your bank statement for the current tax year as a CSV. Your income is counted from the payments, so invoices you sent from OnlineInvoices that have already been paid are not counted twice.
6. Set repeating invoices and reminders for clients you bill every month.

Payment terms on a UK invoice

Whatever software you use, the terms printed on the invoice decide when the money is due and when you can start charging interest. If you agree no terms with a business client, UK law treats payment as due 30 days after they receive the invoice or the goods, whichever is later. Business-to-business terms can be longer, but the law presumes anything over 60 days is unfair unless both sides genuinely agreed it. Put the due date on every invoice, not just "30 days", so there is no argument about when the clock started. Our guide to invoice payment terms covers the common choices, and the guide to chasing an unpaid invoice covers what to do when the date passes.

Who should choose which

A consultant billing clients in several countries and filing tax elsewhere

OnlineInvoices. Its gateway choice and volume tiers suit international billing.

A UK tutor invoicing parents and schools

TapTax. Invoices in pounds, reminders for slow payers and your quarterly update from the same records. The tutor invoice template shows the layout.

Someone who needs one invoice today

Our free invoice generator: a UK invoice as a PDF, with no account and no card.

The bottom line

“An online invoice is easy to make anywhere. A UK invoice that feeds your tax return is what saves the time.”

OnlineInvoices is simple, browser-based billing priced in dollars, and a fair choice for international invoicing. For a UK sole trader, TapTax knows UK VAT, statutory interest and Making Tax Digital, and does the invoicing, receipts and quarterly filing for £4.99 a month.

People also ask

What is the best way to send invoices online in the UK?

For a one-off, a free generator that makes a UK invoice PDF. For regular invoicing, an app that saves clients, repeats invoices and chases late payers; under Making Tax Digital, one that also files your quarterly updates saves the most time.

Can I create online invoices for free?

Yes. TapTax’s free invoice generator makes a UK invoice with no account, and the TapTax free plan includes three sent invoices. OnlineInvoices mentions a free plan without defining it, and offers a 14-day trial.

Does OnlineInvoices take card payments?

Yes, through gateways including Stripe, PayPal and eWay, per its site on 7 October 2026; the fees were not stated and depend on the gateway.

Do I need MTD software if I already use online invoicing?

Yes, if you are a sole trader or landlord with qualifying income over £50,000 from April 2026. Invoicing software that does not file still leaves you needing MTD-compatible software for your quarterly updates.