It's crucial to know when your limited company accounts must be submitted to Companies House. Once filed, these accounts become publicly accessible.

For private companies, you have nine months from your Accounting Reference Date (ARD) to submit your accounts to Companies House.

When you start a company, your incorporation date marks the beginning of your financial year, and the ARD is automatically set as the last day of the month in which the company was incorporated, one year later. The ARD signifies the end of your financial year, and your annual accounts will be prepared up to this date each year.

For example, if your company was incorporated on July 6, 2018, your first ARD would be July 31, 2019. Therefore, each year’s accounts must be filed for the financial period ending July 31st.

Your first company accounts must be filed within 21 months of the incorporation date, a deadline set by Companies House.

Failing to file company accounts on time can result in late filing penalties. These penalties are designed to encourage timely filing as this information is required for the public record. The penalty amount depends on how late the accounts are:

• Less than one month late: £150 fine
• More than six months late: £1,500 fine

A company tax return must be filed with HM Revenue and Customs (HMRC) annually, detailing the company's earnings, losses, loans, and other factors affecting its tax liability. The deadline to file a company tax return is 12 months after the end of the accounting period. Late filing results in penalties.

There is also a separate deadline for paying Corporation Tax or informing HMRC of zero liability, which is nine months and one day after the end of the accounting period.

You will use your company tax return and company accounts to determine the amount of Corporation Tax to pay. Note that the due date for your Corporation Tax payment precedes the deadline for filing your company tax return, which can be confusing.

Statutory accounts typically include a balance sheet, a profit and loss account, and notes related to the accounts. Here's a breakdown:

1. Balance Sheet:
   • Shows everything the company owes, is owed, and owns.
2. Profit and Loss Account:
   • Details running expenses, sales, and the profit or loss over a specific financial period.

Depending on your business size, you might also need to prepare:

• Auditor’s Report
• Director’s Report

However, if your business qualifies as a micro-entity or a small company, you may be eligible to submit simpler "abridged" accounts to Companies House that do not require auditing.

Criteria for Small Companies:

• Turnover: £10.2 million or less
• Employees: 50 or fewer
• Balance Sheet Total: £5.1 million or less

Criteria for Micro-Entities:

• Turnover: £632,000 or less
• Employees: 10 or fewer
• Balance Sheet Total: £316,000 or less

Both micro-entities and small companies can use exemptions to avoid auditing their accounts. You can choose whether to submit a copy of your profit and loss account and director’s report, and you may have a simpler balance sheet.

Micro-entities can opt to prepare minimal accounts that meet statutory requirements and only submit their balance sheet to Companies House.

It is crucial that statutory accounts comply with accounting standards, either the New UK Generally Accepted Accounting Practice (UK GAAP) or the International Financial Reporting Standards (IFRS).

Running your own business is extremely rewarding, but the end of the financial year can become stressful and time-consuming, especially if you're not a professional accountant trying to compile a set of accounts.

If you are a small company or a micro-entity, you have the option to prepare your own accounts for your limited company. While it is not mandatory to have an accountant file your accounts, it is highly recommended.

At first glance, compiling a set of company accounts may seem straightforward, but you must be competent in doing so as mistakes can lead to serious penalties and increased tax liabilities.

Filing accurate and timely accounts is a legal requirement, and mistakes can be costly. Hiring the right accountant ensures all legal requirements are met and that the company’s accounts adhere to accounting standards. This not only helps reduce your stress levels but also provides peace of mind that your accounts are filed correctly and on time, avoiding potential penalties.

Company accounts summarize a company’s financial activities over a 12-month period. Each year, the Balance Sheet and Profit and Loss Statement are prepared and submitted to Companies House and HM Revenue & Customs.