Limited company accountants FAQ: costs, services and switching

Choosing a limited company accountant comes down to scope, price, regulation and timing. These answers support our limited company accountants page and cover the questions directors ask before appointing one.

What does a limited company accountant do? A limited company accountant prepares the statutory accounts filed at Companies House, the CT600 Corporation Tax return filed with HMRC, and the confirmation statement. Most also run payroll, VAT returns and bookkeeping, file directors' Self Assessment returns, and advise on salary, dividends and director's loans.

How much does a limited company accountant cost? Limited company accountancy fees depend on turnover or expenses, transaction volume, and whether VAT, payroll and bookkeeping are included. Most firms charge a fixed monthly fee. With us, you pay the price listed on our fees page for your turnover bracket and package, plus VAT, with no hourly billing.

When should a limited company hire an accountant? The best time to appoint an accountant is when the company is formed, before the first transactions, so the books, bank account, VAT and payroll are set up correctly. At the latest, appoint one several months before the first accounts deadline, which falls 21 months after incorporation.

What is included in a limited company accountancy package? A limited company accountancy package usually covers statutory accounts, the CT600 Corporation Tax return, the confirmation statement and a director's Self Assessment return. Higher packages add VAT returns, bookkeeping, payroll and management reporting. Our fees page lists exactly what each package includes.

Can I switch limited company accountant mid-year? Yes. You can switch accountant at any point in the year. Your new accountant requests professional clearance from the outgoing firm, obtains prior-year accounts and working papers, and takes over agent authority with HMRC and Companies House. Switching well before a filing deadline keeps the handover straightforward.

Can a limited company accountant work fully online? Yes. Most limited company accountancy can be done fully online using cloud software such as Xero, QuickBooks or FreeAgent, secure document upload and video meetings. HMRC and Companies House filings are submitted electronically. We work online across the UK, with offices in London, Morden and Croydon for directors who prefer to meet.

What qualifications should a limited company accountant have? Look for an accountant who is a member of a recognised body such as ICAEW, ACCA or AAT, and a firm that is supervised for anti-money laundering and holds professional indemnity insurance. The title accountant is not protected in the UK, so membership and regulation are the practical safeguard.

What happens if limited company accounts are filed late? Companies House charges an automatic late filing penalty for private companies, starting at £150 for up to one month late and rising to £1,500 over six months, doubled if accounts were late the previous year. HMRC charges separate penalties for a late CT600, and persistent failure can lead to the company being struck off.

Rates, thresholds and deadlines quoted here reflect the 2026/27 UK position and current Companies House and HMRC guidance. Check GOV.UK, or ask us, before relying on them for your own company.