Maximise your tax savings, avoid penalties and leave the stress and worry of completing your company tax return to a qualified accountant Who has to complete a Company Tax Return?
Limited companies incorporated in the UK are liable for corporation tax, as well as some unincorporated organisations (see HMRC website to find out if your organisation is liable)
There are of course exceptions, and businesses and organisations that are not subject to Corporation Tax requirements include the following:
- Sole traders
- Traditional partnerships
- Limited liability partnerships
- Local authorities
- Some ‘clubs’ and ‘bodies’
Please see the HMRC website for a list of exemptions
When starting a new company it is your responsibility to inform HMRC within the first three months of trading, and when you intend to prepare your year-end accounts.
Deadline for completion of your company tax return
Unlike a personal tax return, the date on which you submit your company tax return will be dependent on when the company was formed. The corporation tax return covers the 12-month accounting period, so that it reflects your year-end accounts, and must be filed within 12 months of the end of the corporation tax accounting period.
Filing your corporation tax return
Whether you file your returns yourself or use an accountant, all corporation tax returns for accounting periods must now be filed online. If you used HMRC’s online registration service to tell HMRC that your limited company exists then you are automatically enrolled for Corporation Tax Online. If you did not register online, you can register here https://online.hmrc.gov.uk/registration
If you are not using an accountant, plan how you are going to submit your returns. You will need to keep good business records. You will also need to have your full statutory company accounts prepared and have a clear understanding of accounting periods for Corporation Tax.
Why use a qualified accountant?
Most companies use an accountant to handle their corporation tax returns. While you may save some money in the short term by completing the return yourself, an accountant is experienced in the complexities of preparing accounts and filing company tax returns and can advise and minimise your overall liability. You can often save more money by appointing an expert in the long term.
How B20 Wessex can help
B20 Wessex are Chartered Certified Accountants with years of experience in advising businesses on how to maximise their company tax savings. When you have provided us with all of your information, we will complete your company tax return for you accurately and on time. You can rest assured you will not have to pay any penalties, and that you are paying the minimum amount of tax possible. Contact B20 Wessex for more information
There are no minimum capital requirements for a private company, so a single person can form a company with a share capital of just £1 and can be the sole director. B20 Wessex can act as Company Secretary if required although this role is no longer a legal requirement.
Once you assume control of a Limited Company, you have additional responsibilities to those of a sole trader or partner and these should not be treated lightly. Breaches of director’s duties are targeted by the Authorities and they can be made personally liable for their Company’s debts.
Companies are separate legal entities from the people who own and control them and have their own tax regime. Each incorporated Company is required to inform the Inland Revenue that it exists within three months of commencing trading.
The Company is required to complete a self-assessment return and pay the tax due within nine months and a day after the end of the accounting period. A Companies’ annual accounts must also be filed with Companies House within 9 months of the end of their chosen accounting period. B20 Wessex can ensure you comply with all these deadlines and avoid potentially heavy fines.
If you are starting a Limited Company, you can register online with HMRC.
We will be happy to talk you through the options and prepare all the necessary paperwork for you.