Accounts

Introduction

If you have a company or partnership, annual accounts for your business must be prepared and submitted to both Companies House and HMRC. It is advisable to have an accountant, business banking account and accounting software to help with this process.  

If you are a sole trader you will need to submit a tax return. It is advisable to keep a separate bank account for your business operations. 

All income and expenditure that is in any way linked to your business must be recorded throughout the year to prepare business accounts. Usually, the easiest way to track this would be accounting or bookkeeping software. 

If your annual turnover is less than £632,000 you can register as a micro entity. This provides access to a much simpler process for submitting accounts that you can prepare yourself.  
 
If your turnover is over £632,000 it is essential to get a tax accountant to help you successfully navigate the rules. The savings in time and potential tax issues usually will offset the cost of the accountant.