Accounts Preparation & Corporation Tax
From the very start of your business, it is important that your bookkeeping and accounting requirements are kept on top of. We can work with you using the latest cloud accounting solutions (or simple spreadsheets if you prefer!), so preparing your year-end accounts is as painless as possible.
As a limited company is different to a sole trader, formal accounts are required to be submitted to Companies House and HM Revenue & Customs in a specific format and in accordance with accounting standards.
Once we have prepared your accounts, then we will prepare the corporation tax returns ensuring that you claim for as many allowable expenses and reliefs as possible.
Your year-end accounts are used for a variety of different reasons. They are used to evaluate the company’s performance, used by banks and investors if you are looking to raise finance or are provided to shareholders. With the accounts being so important, it is crucial that they are prepared with the utmost care and attention.
Every limited company that is based in the United Kingdom is subject to corporation tax on their profits.
Once a company has been incorporated, it is essential that HM Revenue & Customs are informed that the company is trading and will be chargeable to corporation tax (i.e. not dormant).
Once a company’s accounts have been prepared, we will prepare corporation tax returns ‘Form CT600’ on behalf of clients. We can also provide advice on any tax planning areas that may benefit directors and the company.
The current small profits rate of corporation tax is 20% (profits under £300,000). The main rate of corporation tax is 23%; however the government have announced that the small profits rate will be unified with the main rate, so from 1 April 2015 there will be only one corporation tax rate set at 20%.