4 Legal Requirements for Your Registered Company Every Year

21 Apr

Legal Requirement

4 Legal Requirements for Your Registered Company Every Year

So, you’ve made it official and registered your company. Congratulations! 

Once you’ve made that step, there are legal obligations that you must meet every year to remain legally compliant. We don’t want you to get off on the wrong foot so we thought we’d outline some of the major milestones you need to be aware of – and be sure to action – to avoid any penalties or fines, or worse, risk being struck off the Companies House register!

  1. Year end accounts 

Your company’s year-end accounts – an account of all its financial activities – become due once the company has been operating for 12 months. You then have up to 9 months to file your company’s first year-end accounts (for example, if your company was incorporated in January 2021, your year-end accounts are due and must be filed sometime between January 2022 and September 2022). 

If you don’t have an in-house bookkeeper to prepare a file your year-end accounts for you, there are many companies whose accountancy services are specially geared towards really small businesses. For example, here at 121 Company Formation, in addition to our company formation services, we also offer a full suite of accountancy and bookkeeping services.

Corporate Tax

 

  • Corporate Tax Return

Also due to be filed between 12-21 months of your company’s incorporation is your Corporate Tax Return. This is filed to declare what corporation tax your company is liable to pay. This will be determined by and calculated based on the information contained on your company’s year-end accounts. 

  • Confirmation Statement 

Every year you must file a confirmation statement which verifies that the information that Companies House holds about your company is accurate. 

To remain legally compliant you must file a Confirmation Statement annually, even if none of your company’s information has changed, or if the company is has not traded in the 12 months since its incorporation.

Unlike your year-end accounts and corporate tax return though, you have just 14 days to file your confirmation statement (and for just £39.99 we can even take care of it for you!)

  • Self-Assessment Tax Return (UK Residents Only)

If you are a UK resident, you will need to file a self-assessment tax return if you were: 

  • A self-employed sole proprietor and earned more than £1,000 in the previous tax year (6 April to 5 April)
  • A partner in a business partnership during the previous financial year (6 April to 5 April)
  • Earning any additional income from sources outside of your main employment wages or your pension. For example, this may include:

Your self-assessment tax return must be filed within the first 12 months of your company’s incorporation.

Getting your business off to a great start begins with getting your company registered. To ensure you continue on the right trajectory, be sure to adhere to all the legal requirements by filing all your statements and accounts accurately and on time. Need a partner to help you with that? 121 Company Formation offers the most comprehensive suite of services to help you every step of the way!

About 121 Company Formation

121 Company Formation is one of the UK’s leading online company formation agents. We have helped over 50,000 entrepreneurs register a company in the UK. We offer the most comprehensive range of services including company formation packages that start at just £15.95, administrative, accounting, and bookkeeping services to support you and your business before, during, and after the incorporation process.

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