I have set up a company, what are my filing obligations?

If you set your business up as a limited company, you have more filing obligations than a sole trader. Although Companies House should inform HMRC that your company has been formed after you register it, it is still your responsibility to register with HMRC. You must inform them within three months of beginning to trade.  

If you are taking on employees, you will need to register for a PAYE scheme before their first payday. You can register up to two months before you first pay them. 

You need to decide on a year end for your company. This can be at any point in the year, but usually it is best to choose a time when you will be best able to finalise your records for us. Your first set of accounts will need to be filed 21 months after the company’s incorporation date.  

Once you are up and running, your accounts need to be filed within nine months after your company’s year-end.  

The company’s tax return must be filed 12 months after the accounting period ends. However, any tax due must be paid nine months and one day after the period ends, so in most cases the return will need to be ready by then as well.  

If your business makes more than £85,000 over 12 months, you will need to register for VAT. You also need to register if you expect your business will make more than £85,000 in a single 30 day period. Not all forms of income count towards the £85,000 threshold and in some cases it may be advantageous to register early, so please contact us for advice on VAT registration if you are concerned.  

Date published 7 Jul 2020

This article is intended to inform rather than advise and is based on legislation and practice at the time. Taxpayer’s circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this article, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.