Limited companies are required to keep accurate financial records and submit annual accounts and tax returns to Compnaies House and HMRC. Here are some key things to keep in mind:
- Annual accounts: Limited companies must prepare annual accounts that show the company’s financial performance and position for the year. These accounts must include a balance sheet, profit and loss account, and cash flow statement. The accounts must be submitted to Companies House within nine months of the end of the accounting period.
- Corporation tax return: Limited companies must also file a corporation tax return each year, which calculates the company’s taxable profits and the amount of corporation tax due. The tax return must be filed with HM Revenue & Customs (HMRC) within 12 months of the end of the accounting period, and any tax due must be paid within nine months and one day of the end of the accounting period
- Choosing an accounting period: Limited companies can choose their own accounting period, but it cannot be longer than 18 months. Companies can also choose to align their accounting period with the tax year (April 6 to April 5), which can make it easier to manage their tax affairs.
- Record-keeping: Limited companies must keep accurate financial records, including receipts, invoices, and bank statements. These records must be kept for at least six years from the end of the accounting period.
- Penalties: Failing to file accounts or tax returns on time, or submitting incorrect information, can result in penalties from Companies House and HMRC. These penalties can range from a small fine to the dissolution of the company, so it’s important to ensure that all filings are made accurately and on time.
It’s recommended that limited companies seek the advice of a qualified accountant or tax professional to ensure that they are complying with all relevant regulations and filing requirements. find Bristol Local account and Tax consultant near me Local Accountants Bristol Accountants Patchway Accountants Filton Accountants in Clifton BS8, Accountants in Bristol Accountants in Yate Accountants Local expert advisors Accountants in Bedminster BS3 , Accountants in Brislington BS4 , Accountants in Bristol South BS14, Accountants in Horfield BS7 Accountants Bradley Stoke Accountants close to me, the tax expert near me in my area, close to me