Year-end accounting for limited companies starts on the accounting reference date. A limited company’s year end is the close of its financial year, which falls on its accounting reference date (ARD): the anniversary of the last day of the month in which the company was incorporated. A company incorporated on 14 March 2024 has a year end of 31 March every year. The company year end is not the UK tax year (6 April to 5 April), which governs personal taxes only. At year end the company prepares full statutory accounts, works out and pays its Corporation Tax, and files a Company Tax Return (CT600). The same accounts go to three audiences: Companies House, HMRC alongside the CT600, and the company’s shareholders. Smaller companies can prepare simpler abridged or micro-entity accounts instead, with size thresholds covered in a separate guide.
What Is Year-End Accounting for a Limited Company?
Year-end accounting for a limited company is the process that closes the financial year and produces three connected deliverables: statutory accounts, a Corporation Tax computation, and a Company Tax Return.
The statutory accounts are the financial statements: a balance sheet, a profit and loss account, and the notes that explain them. They are prepared under UK accounting standards, FRS 102 for most companies and FRS 105 for micro-entities. Shareholders receive them, Companies House publishes them, and HMRC receives them again alongside the tax return.
The Corporation Tax computation converts accounting profit into taxable profit by adding back disallowed costs and deducting reliefs. The CT600 then reports that computation, states the tax due, and is filed online with HMRC. One set of figures feeds all three documents, which is why the preparation order matters: books, then accounts, then computation, then return.
Smaller companies can shorten the public version. Abridged accounts let qualifying companies file less detail on the Companies House record, and micro-entity accounts are shorter still.
What Are the Year-End Deadlines for Accounts and Tax?
An established private limited company works to four year-end dates, and the tax payment deadline arrives first of all. The table below lists the deadlines as published on GOV.UK.
| What is due | Deadline | Notes |
|---|---|---|
| Statutory accounts to Companies House | 9 months after the end of the financial year | First-ever accounts: 21 months from incorporation |
| Corporation Tax paid, or HMRC told nothing is owed | 9 months and 1 day after the end of the accounting period | Falls due before both filing deadlines |
| Company Tax Return (CT600) to HMRC | 12 months after the end of the accounting period | Filed online through commercial software or an accountant |
| Corporation Tax accounting period | Normally the same 12 months as the financial year | The period the computation covers |
The order of those dates is the trap. The payment deadline (9 months and 1 day) falls before the accounts deadline (9 months) and the return deadline (12 months), so the cash leaves the company before any document is filed. Work out the Corporation Tax bill early and budget for it first, then handle the paperwork.
Filing routes have also changed. CT600 returns are filed online through commercial software or an accountant, with paper accepted only in exceptional cases. The old joint HMRC and Companies House filing service closed on 31 March 2026, and from 1 April 2028 software filing becomes mandatory for accounts as well as tax returns.
What Happens If You Miss a Year-End Deadline?
Miss a year-end deadline and two separate penalty regimes stack up: Companies House penalises late accounts, and HMRC penalises a late Company Tax Return. Both apply to the same year.
Companies House charges private companies as follows: £150 for accounts up to 1 month late, £375 for 1 to 3 months, £750 for 3 to 6 months, and £1,500 beyond 6 months. The penalty is doubled when accounts are late in two successive financial years.
HMRC’s Company Tax Return penalties are separate: £200 from day one, another £200 at 3 months, then 10% of any unpaid tax at 6 months and a further 10% at 12 months. A return that is late three times in a row raises the £200 penalties to £1,000 each. The penalty applies even when no Corporation Tax is owed. Past 6 months HMRC can issue a tax determination, its own estimate of the bill, which cannot be appealed and stays in place until the return is filed.
These figures apply to returns due on or after 1 April 2026. Many guides still quote the old £100 HMRC penalty; the current regime replaced it.
The regimes stack in the same year. A company that files accounts four months late and its return seven months late faces £750 from Companies House, £400 from HMRC, and 10% of any unpaid tax, before the doubling rule is even considered.
How Do You Prepare for Your Company Year End?
Preparing for a limited company year end means turning an archaeology dig into a review: the work happens across the year, not after it. Seven steps cover the run-up.
- Keep the company’s bookkeeping current all year, with the bank reconciled monthly and sales and purchase records complete, so year end reviews the figures rather than reconstructing them.
- Chase overdue customer invoices before the year ends, so the accounts show real, recoverable revenue rather than optimistic debtors.
- Collect and claim every business expense incurred wholly and exclusively for the company, including business mileage, equipment and use of home; each valid claim reduces taxable profit.
- Cross-check the accounting records against bank statements line by line, and investigate anything unexplained.
- List doubtful debts honestly, with a note against each one explaining why recovery is doubtful.
- Diarise the VAT returns and the confirmation statement that fall around the year end, because those deadlines run on their own clocks.
- Review salary, dividends and pension payments before the accounting reference date passes.
The final step is where an accountant saves the most tax. Salary, dividends and pension decisions taken before the ARD fall in the year the company chooses; taken after it, the choice is gone. A short planning conversation before the date beats a penalty after it.
Common Questions Answered
Is my company year end the same as the 6 April tax year?
No. A limited company’s year end falls on its accounting reference date, the anniversary of the last day of the incorporation month. The tax year (6 April to 5 April) matters only for personal taxes such as Self Assessment. The Corporation Tax accounting period normally matches the company financial year.
Do I need to file a Company Tax Return if my company owes no Corporation Tax?
Yes, once HMRC has sent a ‘notice to deliver’. The late-filing penalty applies even with nothing owed. Tell HMRC within 12 months of the accounting period ending if the company has taxable profits but received no notice.
What is the difference between statutory accounts and the Company Tax Return?
Statutory accounts are the financial statements: balance sheet, profit and loss account, and notes, prepared under accounting standards. The CT600 is the tax return, computing taxable profit and the Corporation Tax due. The accounts are filed with HMRC alongside it.
Can I prepare year-end accounts myself, or do I need an accountant?
No legal requirement exists to use an accountant. In practice most owner-managed companies appoint one because errors mean rejected filings, lost claims and penalties, and because an accountant’s pre-year-end planning usually saves more tax than the fee costs.
How Aqua Accounting Can Help
The Aqua Accounting team runs the whole year-end cycle for Newcastle limited companies. One engagement covers company accounts preparation and filing on time, the Corporation Tax computation, payment by the 9-month-and-1-day deadline, the CT600 return, and every deadline diarised and chased before it arrives. Fixed fees are agreed before the work starts, and the team works from Newcastle, close enough to sit across a desk from. Year-end accounting for limited companies runs on fixed dates with fixed penalties; one local team keeps both on schedule. Book a conversation before the next accounting reference date passes.
Disclaimer:
The information provided in this blog is for general informational purposes only and does not constitute professional advice. While every effort is made to ensure accuracy, Aqua Accounting accepts no responsibility for any actions taken based on this content. You should seek professional advice tailored to your individual circumstances.
Omar Ahmed is an ICAEW Chartered Accountant and the Director of Aqua Accounting, a UK-based accountancy practice providing expert accounting and tax services to individuals, sole traders, and small to medium-sized businesses. As a trusted accountant in Newcastle, he offers expertise in annual accounts, self-assessment tax returns, company accounts, VAT, payroll, bookkeeping, and company formation.
With a strong focus on delivering clear and practical financial advice, Omar helps clients stay compliant while improving their understanding of their finances. Through Aqua Accounting, he works closely with business owners to simplify accounting processes, meet tax obligations, and support informed financial decision-making.