Trading Update

Tax Systems plc

("Tax Systems" or the "Company")

Trading Update

Tax Systems, a leading supplier of corporation tax software and services, is pleased to provide the following trading update for the year ended 31 December 2016.

The Company has performed as budgeted at the time of re-admission to AIM in July 2016 ("Admission") and trading and net debt for the year ended 31 December 2016 are in line with market expectations. Since Admission, the Company has strengthened its management team with a number of new appointments to drive organic and acquisitive growth while supporting the Company's valued existing customer base.

Tax Systems plc

Gavin Lyons, Executive Chairman +44 20 3845 3552

MXC Capital Markets LLP (Financial Adviser)

Marc Young/ Charlotte Stranner +44 20 7965 8149

finnCap Limited (Nomad and Broker)

Jonny Franklin-Adams/James Thompson +44 20 7220 0500