Answers
What accounts does a limited company have to file?, Annual accounts to Companies House within nine months of the accounting reference date, and a company tax return with detailed accounts and computations to HMRC within twelve months of the period end.
Do we need an audit?, Most small companies are exempt. Audit is generally required only if two of three thresholds are exceeded, turnover above £15m, balance sheet above £7.5m, or more than 50 employees, or if shareholders holding 10% demand one.
Can a director prepare the accounts?, There is no legal requirement to use an accountant. In practice the tax computation, capital allowances and directors loan treatment are where unrepresented companies most often go wrong.
How long must company records be kept?, At least six years from the end of the accounting period, and longer for assets bought that will be used over several years.
What is a directors loan account?, A running record of money you take from or lend to the company outside salary and dividends. If overdrawn at the year end and not repaid within nine months and one day, a 35.75% section 455 charge (33.75% on loans made before 6 April 2026) applies.