Why do I need Accounts?
Companies have a statutory requirement to submit financial accounts to Companies House within 9 months of their year end. For example, if your financial year ends on 31 January you will need to submit your accounts by 31 October of the same calendar year.
Failing to meet this deadline can affect the company’s ability to obtain credit and will result in penalties.
Most companies with turnover under £6.5m qualify as small and this enables them to elect to submit abbreviated financial accounts. In doing so less information is disclosed in the public domain.
Unfortunately this does not absolve the company from the requirement to prepare full financial accounts which are required for submission to HM Revenue & Customs together with a Corporation Tax Return and Computation no later than 12 months following the year end. In our example above you’d need to submit these documents no later than 31 January of the year following.
In practice however it is generally the case that all documents are treated as though they must be submitted within 9 months of the financial year end as, despite the return being required later, a company must pay its corporation tax liability within 9 months and 1 day of the financial year end. In our example above that would be 1 November.
What other use can I get out of my annual accounts?
The world of accountancy and management information is changing rapidly and we like it. By taking advantage of our cloud accounting enabled service you can answer questions on profitability, sales performance, creditors, debtors, VAT liability and Corporation Tax liability at the touch of a button.
Alternatively, if you’d rather have Parkers Accountants answer those questions for you we can set that up as well.
If you’re a larger business we also provide comprehensive management information at agreed intervals which you can read more about here.
Why Parkers Accountants and Chartered Tax Advisers?
As the basis for tax calculations and computations it is critical that your accounts show accurate information and are produced in a timely fashion. The method of accounting may also vary depending upon the tax strategy adopted.
Producing compliant accounts is one of our core competencies. Coupling that with our expertise in taxation for a simple fixed fee makes sense.
If you’d like to arrange a no obligation telephone call or meeting with one of the team, please do contact us.