How much it costs to have a dormant LTD?

[businessor]

Hello!

My accountant asks for £40+VAT per MONTH for my company to be dormant.

I cannot see how it makes sense to pay £50 per month for nothing.

Is there any other solution?
What are the requirements and can I do them myself?

Thanks!

 

[StevensOnln1]

All you need to do is file dormant accounts and a confirmation statement each year. Does the £40+VAT per month include using the accountant's office as the company's registered address?

 

[businessor]

So why he wants £50 per month when he only needs to fill a form once in a year?

Yes it includes using their address but I have no issue to use another virtual address (do you know y economical?) or my own address.

I would be okay to give £40 per year, but £50 per MONTH is way too much!

 

[StevensOnln1]

Perhaps £40+VAT p/m is their standard rate for use of their address as a registered office? There is no reason no to form the company and do the filings yourself, then engage the accountant's services when you are ready to commence trading.

 

[Neil Lukins]

The £50 a month could include other items such as Self Assessment, use of registered address etc.

It does sound excessive to only submit dormant accounts and confirmation statements once a year.

Might be worth speaking to another accountant. There are plenty around and most dont even need to be local.

I'd also check your agreement to see what you have signed up to.

 

[Lisa Thomas]

Maybe use a different virtual office address.

Ask them what their fee includes if you don't know.