Updated: Jun 19, 2019
So it's the start of 2019 and a great time to take stock of your business. A common theme amongst startups is that they are unaware of their accounting obligations. I often have prospective clients who think they have completed all, but most have completed parts but not all.
Your obligations as a company can differ depending on your entity, but here is a simple breakdown.
Your Self-assessment should be filled once a year and should cover dates from April to April. So for this current tax year, your Self-assessment would cover April 2017 -April 2018. The deadline for filing is currently the 31st of January (you can file right up until midnight though this is not advisable). For most Self-employed, the main Self-assessment form will include all income however if you rent out your house, have foreign income or have been working abroad for part of the year you might have the additional forms to file also.
For the most part, you are obliged to file your assessment online, but for some businesses/ sources of income, this is still paper-based, so it's worth checking.
The obligations for Limited Companies can vary depending on the nature of your business and when you began trading. As there is more to do and file, I have broken it down as per below:
File confirmation statement - Annually
File Annual Accounts - Annually
Dates for this are found by looking up your business on Companies House website. When you file your first Annual Accounts with Companies House, you might discover due to dates that you need to file two Annual Account returns. Only a calendar year worth of Annual Accounts can be submitted at once so you may find you have to submit two Annual Account filings in your first year.
File Corporate tax return:
Pay Corporation Tax or tell HMRC that your limited company does not owe any
Nine months and one day after your' accounting period' for Corporation Tax ends.
File a Company Tax Return
Twelve months after your accounting period for Corporation Tax ends.
Dormancy for Self employed or Limited Companies.
In the case of dormancy or non-trading, you must still file as mentioned above. In the case of Self-employed, you will declare no income, and in the case of Limited companies, you will submit dormant accounts to Companies House and HMRC.
Failing to keep to this obligation can and will lead to either or both Companies House and HMRC issuing penalties to your business from the day after the due date to the day that you submit.
At CB Accounting, we help small businesses and offer Annual Accounting packages with added bookkeeping and payroll options. We also provide one-off consulting for companies that want some expert advice.