Registered companies in the UK are required to prepare annual accounts for Companies House and HMRC every year. Company accounts are documents prepared at the end of a financial year which show how your company has performed over the last accounting period. The accounts are used to work out how much corporation tax your company has to pay to HMRC.
All limited companies must deliver accounts to Companies House regardless of whether you’ve been successful, breaking even, not trading, or dormant.
A set of accounts will usually include:
The profit and loss account shows your company’s revenue, expenses and the profit or loss it has made over the last year.
The balance sheet shows the value of everything your company owns, owes and is owed.
The notes provide supporting information and help users of accounting information understand the current financial position of your company.
The directors’ report provides information on:
The deadline for filing your accounts will be calculated from its accounting reference date which will be different for each company. If your company is new, it will be the anniversary of the last day in the month your company was incorporated. For existing companies, it will be the anniversary of the day after your previous financial year ended. The time allowed for delivering accounts is 9 months from the accounting reference date.