Every client is unique, our expert limited company accountants provide a personal service tailored to suit your needs. Our year-end accounts service takes care of the preparation and filing of your private limited company's annual accounts and Corporation Tax return. A copy of your statutory accounts should be sent to all shareholders, Companies House and HMRC. The accounts must include your company’s:
- Balance sheet;
- Profit and loss account;
- Notes about the accounts;
- Director’s report.
YEAR-END ACCOUNTS PREPARATION & FILING
When preparing year-end accounts, there are are 3 size classifications of companies to consider: small (sub-set micro-entities), medium or large. Your company will be classified as 'small' if it has any 2 of the following:
- A turnover of £10.2 million or less;
- £5.1 million or less on its balance sheet;
- 50 employees or less.
If your limited company qualifies as a small company, you do not have to get your company accounts audited. This means we can send simpler accounts to Companies House (must be agreed by all members). Some companies must have an audit even if they meet the rules for not having one. Further information can be found here.
Abridged accounts contain a simpler balance sheet (signed by a director) and a simpler profit and loss account (optional). You will decide whether you wish us to send a copy of the director’s report and profit and loss account to Companies House. Be aware filing abridged accounts means less information about your company will be publicly available from Companies House.
Corporation Tax is the fourth largest (after Income Tax, National Insurance contributions and VAT) source of government revenue in the UK. Corporation Tax is a corporate tax levied on the profits made by:
- UK resident companies;
- Entities registered overseas with permanent establishments in the UK.
Until 1965, companies were subject to income tax on their profits at the same rate as was levied on individual taxpayers. The Finance Act 1965 replaced this structure for companies and associations with a single corporate tax, which borrowed its basic structure and rules from the income tax system.
YOUR LIMITED COMPANY
Your private limited company is subject to Corporation Tax on its profits. If your company is based in the UK, it pays Corporation Tax on all its profits from the UK and abroad. If it is not based in the UK, but has an office or a branch here, then it only pays Corporation Tax on profits from its UK activities.
You must send a company tax return (CT600), if your company receives a ‘notice to deliver a company tax return’ (CT603) from HMRC. This notice is sent to every company HMRC believes to be active and it defines requirements which include:
- Details of how the specified information has been calculated from relevant figures in the accounts;
- A copy of the company accounts for the period covered by the company tax return.
The current Corporation Tax rate for company profits is 19%. Prior to 2016, the rate was depended on how much profit company made.
Companies usually have to deliver their Corporation Tax returns no later than 12 months after the end of the accounting period. If you are setting up a small business, you need to make sure you register your company for Corporation Tax within 3 months of starting to trade.
The deadline to pay your Corporation Tax bill is 9 months and 1 day after the end of your accounting period for your previous financial year. For example, if your accounting period ends on 31st of March, your Corporation Tax deadline is 1st of January.
SUPPORT & ADVICE FOR UK SMALL BUSINESSES
Xcountant® | Small business accountants are a London based accounting firm helping business owners save time and money while complying with rules and regulations. Our accountants prepare your company accounts and help you to understand your company's financial position, both on its own and within its industry. The profit and loss account and balance sheet are some of your most powerful tools for understanding your business's health and making informed decisions.
Any questions about the year-end accounts service? Our small business accountants offer a full range of accounting services with no hidden fees and charges. Xcountant's highly personalised services are designed to improve business efficiency and profitability.
DISCLAIMER The information and opinions provided on this website are for general information purposes only and are not intended to constitute professional advice. Xcountant Company Ltd T/A Xcountant® | Small business accountants - London is a company registered in England and Wales under the registration number 12966530.
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