What are the penalties for missing filing deadlines?

The one area where there is no confusion is when it comes to penalties. After the end of your financial year, you must prepare full statutory annual accounts, pay corporation tax and file a company tax return within the appropriate deadlines.

Accounting Deadlines

If your accounting period is different to your financial year, your corporation tax and company tax return deadlines may be different.

To make matters more complicated, you don’t get a bill for corporation tax. It’s up to you to work out how much your company owes.

Missed the deadline for filing accounts at Companies House?

The penalty charges are as follows:
Companies House Penalties

The penalty is doubled if your accounts are late 2 years in a row.

Missed the deadline for your company tax return?

Company Tax Return Penalties

If your returns are late 3 times in a row, the £100 penalties are increased to £500 each.

If your return is more than 6 months late HMRC will do a ‘tax determination’ to tell you how much corporation tax they think you must pay. What’s more, you can’t appeal against it.

No hiding place

Now that anyone with internet access can immediately view your company data, your age, address and a veritable mine of other information, compliance and transparency is more important than ever.

Potential clients can see at a glance whether you consistently file late returns or whether any directors have been struck off to name just a fraction of data that is freely available.

Any blips could be seen in a negative light. Could your business withstand the scrutiny?
An audit, particularly one carried out by an external, impartial professional can not only ensure you don’t miss deadlines but can also provide that extra level of reassurance for investors, lenders and new clients alike.