FAQ – Tax Return

Your questions answered

We’ve put together some commonly asked questions to give you more information about Accounting, Taxation and other relevant topics.
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What is a tax return for a limited company?

After the end of its financial year, a limited company must prepare full annual accounts (sometimes referred to as Statutory Accounts. A Company’s Tax Return is prepared with the help of these Annual accounts. A Company Tax Return is the financial information that most businesses file with HMRC each year in order to report on their earnings, losses, loans and any other elements that are significant to their tax due. This information is used by businesses to compute the Corporation Tax that they owe.

When are the tax return for a limited company is due ?

The deadline for your tax return is 12 months after the end of the accounting period it covers. The deadline of the first tax return would be different depending on the formation date of the company.

What information is required to file a tax return?

  • Sales
  • Profit
  • Unique tax reference of the company
  • Address
  • Name of the director approving the tax return

Do you pay tax on your Accounting profit?

Not strictly, but you add or deduct items as required by law for example depreciation, fines and penalties and Tax depreciation / capital allowance.

How is tax return filed?

Electronically, No paper copy tax return are accepted by HMRC since the introduction of Making Tax Digital (MTD).

Are there fines on late filing?

There are fines on late filing and late payment of tax.

Are there any legal ways for reduce a limited company’s Tax?

There are reliefs and claims available which reduce your tax liability for example R&D, pension and investment in certain assets, double taxation relief etc. Get in touch with us to know about your business specific tax reductions.

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