Catherine Nakalema2026-08-132026-08-132026-05-15https://hdl.handle.net/20.500.12311/3513UndergraduateThe study examined the impact of digital accounting systems on the quality of financial reporting among small and medium enterprises in Kampala Uganda focusing on Automatic Transaction Recording (ATR), Automatic Financial Report Generation (AFRG) and Automatic Income and Expense Tracking (AIET). A descriptive research design and quantitative approach were adopted. Data was collected using questionnaires from 61 respondents representing a response rate of 76.25% The findings revealed that digital accounting systems significantly improve the quality of financial reporting. Specifically,63.9% of respondents agreed that ATR reduces manual errors in transactions, while 65.6% agreed that AFRG improves the timeliness and consistency of financial reports. In addition, 70.5%responds agreed that AIET improves the accuracy of income and expense monitoring among SMEs. The study concluded that digital accounting systems positively influence the accuracy, reliability and timeliness of financial reporting among SMEs. The study recommended the SMEs. The study recommended that SMEs should adopt affordable computerized accounting systems and strengthen staff training to improve financing reporting practicesenDissertation