Year End Responsibilities - recently constituted business with no operations so far

[Juan Garzon]

Dear all

I set up a limited company incorporated on 26 Feb 2024, for a language school business - I am the sole director. I am working to starting operations properly in September 2024, with no real financial movement so far i.e., no expenses/costs or revenue, etc. Do I still have any specific end of year responsibilities / tax returns to make? I forecast the business to start making small profits while we start an settle from around September as I mentioned. Any advice appreciated as very new to business ownership.. thanks!

 

[Scalloway]

The company will need to file annual accounts, a Corporation Tax Return and a confirmation statement after 28 February 2025

Running a limited company: your responsibilities

Running a limited company - including directors' responsibilities, company annual returns, reporting company changes and how to take money out of a limited company

www.gov.uk

Accounts and tax returns for private limited companies

Accounts for Companies House and Company Tax Returns for HMRC - what you must send, deadlines, filing separately or together

www.gov.uk

 

[MyAccountantOnline]

Dear all

I set up a limited company incorporated on 26 Feb 2024, for a language school business - I am the sole director. I am working to starting operations properly in September 2024, with no real financial movement so far i.e., no expenses/costs or revenue, etc. Do I still have any specific end of year responsibilities / tax returns to make? I forecast the business to start making small profits while we start an settle from around September as I mentioned. Any advice appreciated as very new to business ownership.. thanks!

A limited company still has to submit accounts and a Confirmation statement to Companies House each year regardless of whether it trades or not. It's easy to overlook and you will incur a fine if the accounts are late.

If your company commences trading in September it will also need to submit accounts and a tax return for the period to 28 February 2025 (I'm assuming that's the financial year end) to HM Revenue & Companies as well as accounts to Companies House.

Will the company be employing anyone or will you be taking a salary from the company?

 

[Juan Garzon]

The company will need to file annual accounts, a Corporation Tax Return and a confirmation statement after 28 February 2025

Thank you - very helpful.

 

[Juan Garzon]

A limited company still has to submit accounts and a Confirmation statement to Companies House each year regardless of whether it trades or not. It's easy to overlook and you will incur a fine if the accounts are late.

If your company commences trading in September it will also need to submit accounts and a tax return for the period to 28 February 2025 (I'm assuming that's the financial year end) to HM Revenue & Companies as well as accounts to Companies House.

Will the company be employing anyone or will you be taking a salary from the company?

Thank you for your answer - very helpful. We will be contracting with the teachers - paying hourly rates, so no intention to employ or enter into employment contracts. I also don't have any intention to take any salary as a director while the company grows.

 

[MyAccountantOnline]

Thank you for your answer - very helpful. We will be contracting with the teachers - paying hourly rates, so no intention to employ or enter into employment contracts. I also don't have any intention to take any salary as a director while the company grows.

Do be really careful when paying others - you can't decide on employment status. Someone is either employed or self employed based on facts. Getting employment status wrong can be a costly mistake so it really is worth getting professional advice from an accountant. In the meantime this is worth reading.

Depending on your personal circumstances it may also be worth you drawing a salary from the company. If you aren't using your full personal allowance you can be paid £12,570 tax free which could save your company Corporation tax. Again an accountant can advise you on that.