In this guide · 7 sections
Short answer
Start with the capture built into your accounting software: Xero's Smart Document Capture or Hubdoc, or QuickBooks' receipt upload. Add Dext for high volume or line-item detail, or a custom AI flow for unusual documents. Whatever you use, review supplier, GST number, GST amount and date before publishing.
Your options for reading invoices and receipts
All of these use optical character recognition (OCR) and machine learning to turn a photo or PDF into a draft bill or expense. They differ in where the data goes, what they extract and what they cost.
| Option | What it does | Cost (Oct 2026) | Best for |
|---|---|---|---|
| Xero Smart Document Capture / Hubdoc | Reads bills and receipts into Xero; Hubdoc adds a document inbox and supplier rules | Included in Xero plans | Xero users with ordinary paperwork |
| QuickBooks receipt capture | Upload, snap in the app or email to an @assist.intuit.com address; creates a transaction to review | Part of QuickBooks Online | QuickBooks users |
| Dext | Detailed extraction, line items, works with Xero, QuickBooks and Sage | From about US$25 a month (annual) | Many documents or several users |
| Bill pay tools (e.g. HitPay BillPay) | OCR fills a bill for approval and payment | Per payment | Paying suppliers from the same tool |
| Custom AI flow | A language model reads the document and returns fields in a fixed format | Model fees plus build | Unusual documents or other systems |
Our Dext vs Hubdoc comparison goes deeper on those two. Our guide to AI features in Xero and QuickBooks covers the newer AI agents in both.
What the tools read, and what they get wrong
QuickBooks says its receipt capture pulls the date, amount, supplier and last four digits of a card, and creates a transaction for you to review. HitPay's BillPay documentation lists vendor, payment details, invoice number, amount, currency, invoice date, due date and notes, all editable before you submit. That pattern is common: the tool proposes, you confirm.
- Wrong supplier: a receipt from a mall or delivery platform read as the platform rather than the actual shop, or two suppliers with similar names merged.
- Wrong date: day and month swapped, or the due date taken as the invoice date.
- GST misread: the GST amount missed, or the total read as the amount before GST.
- Wrong currency: a USD invoice recorded as SGD.
- Duplicates: the same bill emailed and photographed, captured twice.
GST fields to check before you claim input tax
Extraction is only as good as the document. IRAS's conditions for claiming input tax require local purchases to be supported by valid tax invoices addressed to you, or simplified tax invoices, at the time you claim. IRAS lists common reasons an invoice is not valid:
Tax invoice checks
If an invoice fails a check, IRAS says to ask the supplier to reissue a valid tax invoice before you claim. No AI tool can do that for you; it can only flag the gap. Our guide to GST tax invoice requirements lists all the fields.
Set up a review queue so wrong reads never post
Send everything to one inbox
Use the tool's forwarding address for supplier bills, and the phone app for paper receipts. One route makes duplicates easier to spot.
Review new suppliers by hand
The first bill from any supplier gets a full check: name, GST number, account code and tax rate. Save it as a supplier rule.
Let rules handle repeat bills
Utilities, rent and subscriptions with a saved rule can publish automatically once the amount is within a normal range.
Set an approval threshold
Bills above an amount you choose go to a director before publishing or payment.
Reconcile weekly
Match captured bills to bank transactions. Anything captured but not paid, or paid without a bill, gets chased.
When a custom AI flow makes sense
Off-the-shelf capture handles ordinary invoices well. A custom flow, where a language model reads each document and returns fields in a fixed format, can help with unusual documents: multi-page freight invoices, mixed-language supplier bills, or data that must go into a system other than your accounting software. Vendors such as OpenAI document "structured outputs" that force the model to return a set JSON format, which makes results easier to validate.
A custom flow can help when
- Documents have unusual layouts or many line items
- Data must go to an ERP, spreadsheet or custom app
- You need extra checks, such as matching to purchase orders
- Volume is high enough to justify a build
Stick with built-in capture when
- Bills are ordinary supplier invoices and receipts
- You only need the data in Xero or QuickBooks
- Nobody can maintain the flow when a model or API changes
- Documents contain personal data you cannot send to an AI vendor
Treat a custom flow like any other: test it on 30 to 50 real documents, compare against what a person enters, and keep the human review step. Our guide on record retention covers keeping the original documents for the five years IRAS requires.
Do it yourself or get help?
Turning on capture in Xero or QuickBooks takes minutes. Getting supplier rules, approval steps and staff habits right takes a few weeks of attention.
Our Receipts & Bills Capture (S$290) sets up Dext, Hubdoc, Xero Expenses or your software's own capture, one forwarding address, the phone app for up to 10 people, supplier rules and a simple approval step, tested end to end. Our Xero / QuickBooks Integration (S$390) connects your payment and sales tools and bank feed. IT Sorted is a Singapore-based team of developers with over 10 years of experience; you pay upfront, send the brief in writing and follow progress on your order page.
Frequently asked questions
For ordinary invoices and receipts it usually reads supplier, date and totals correctly, but mistakes happen with unusual layouts, faded paper and similar supplier names. Every major tool presents results for review rather than posting blindly. Check new suppliers by hand, use supplier rules for repeats and set an approval threshold.
Yes. As of October 2026, Xero Singapore includes Hubdoc on its Starter, Standard and Premium plans when connected to Xero, and Xero's own Smart Document Capture is included on its small business plans at no extra cost. Dext is a separate paid service.
Only if the underlying document is a valid tax invoice or simplified tax invoice addressed to you, with the supplier's GST registration number and the required GST details. The capture tool records the data; it does not make an invalid invoice valid. Ask the supplier to reissue any invoice missing required details.
Mask them first. QuickBooks' help centre recommends not uploading receipts or bills with sensitive personal information such as credit card numbers and government identifiers. Ask staff to cover or crop those details, and only capture what the expense claim needs.
IRAS requires companies to keep business records for at least five years from the relevant Year of Assessment, and accepts electronic records without prior approval if they are complete and retrievable. Keep the captured image or PDF linked to each transaction, and check your capture tool keeps documents as long as you need them.