Year End Guide for Limited Companies to File Their Annual Accounts
Year end is near and it is necessary that entrepreneurs remain quite aware about all the matter of forms and conventions regarding annual accounts of their respective firms. Everything remains hunky dowry until your accountant is on work with you!!
It is almost 3 to 4 months before HMRC, companies begin to gather all the requirements for the submission of their annual accounts at Companies House.
The main purpose of these year-end accounts is to report the financial activities of the company and calculate the tax which has to be paid to HMRC. The financial reporting period is of one year. An annual account also helps directors to get a clear glance of company’s financial positions.
And for all new big shots — your annual accounts should be reported to Companies House within 21 months of incorporation. These would generally cover a period of 12 months, starting from the date of incorporation and ending on the accounting reference date (ADR).
Important things that should be incorporated by limited companies before reporting-
· A balance sheet — it generally shows everything that your company owns
· A profit and loss accounts- it indicates the profit or loss that company has incurred during the current fiscal year and it also shows the sales of the company
· Report from director
· Reports from auditors- this is generally based on the size of the company
· The name and signature of the director on the balance sheet
· Notes about accounts
Small businesses and micro- entities are allowed to show minimum accounts consisting of only balance sheet and notes, but they still need complete accounts with their companies’ tax returns.
You can take help of accountants for compiling your accounts and tax returns at the end of year. They can guide you to prepare financial projections while planning stage and assist you during audits. Relying on the type of your business, you may need a full-time accountant but usually small businesses require accounts periodically at the time of filling year-end accounts and tax return. If you wish to have free consultation for Limited Company Accounting, Drop us an email at firstname.lastname@example.org