CT600: Filing Key Components to Filing Your Year-End Accounts

Filing company year-end accounts can be daunting, especially for company limited directors. However, our comprehensive guide will help you with the process of filing a year-end account.

Jump to any topic in this guide with the quick links provided below:

• What is the primary step to consider when filing year-end accounts?
• Company Year-End Accounts: What is it?
• What CT600 Contain?
• What Needs to be Filed With HMRC?
• Company Tax Return
• Annual Accounts
• Income Statement
• Statement of Financial Position
• Additional Details
• What Should You Need to Be Filing With Companies House?

What is the primary step to consider when filing year-end accounts?

Do you also get confused about what to look for when reviewing your Year End Accounts? Don’t worry! It happens to all of us.

Here, we will ease your process of filing your year-end accounting and explain why it is necessary to verify them thoroughly before approving them for filing.
First of all, discuss what company year-end accounts are.

Company Year-End Accounts: What is it?

A company’s “Year End” is when its accounts are finalised. It is also when certain documents must be sent to HMRC and Companies House. So, let’s get into the details of year-end accounts.

Year End Accounts

The year-end accounts show the company’s financial structure. They are essential as they allow one to analyse the company’s position and where it stands compared to previous years. They also provide a clear structure to compare the company’s financial health.

No matter the company’s size, it follows the same accounting conventions and principles. Whether a company sells just £100 to the largest corporations listed on the stock exchange follows the same accounting convention and principles. This allows stakeholders to compare companies such as potential investors, customers, and shareholders.

It helps the directors compare business potential from previous years and identify possible areas for improvement. At the end of the year, you will also analyse the income and assets associated with other third parties, such as banks.

Are you facing difficulty in filing CT600? No worries! Our dedicated accountants at Lockhart Amin Accountants will help you with the best accounting principles to file your year-end accounts.

What CT600 Contain?

The year-end accounts formally sent to HMRC through the company tax return are formally called CT600.

Let’s get to know what it contains.

• Full Year-End Accounts
• Amount of tax paid as a corporation tax
• Taxable Profits
• Taxable adjustments
• Company Profits
• Tax implementation on overdrawn directors’ loan (S455)

CT600s are limited to 365 days, so if your accounts are longer than this, they will be split into two CT600s.

HMRC will also have access to more information than other external users of the accounts, who can only download the abbreviated accounts from Companies House.

What Needs to be Filed With HMRC?

Company Tax Return:

Your company tax return form will have all the information regarding the company’s income, fewer tax allowances, and fewer expenses. The remaining profit will calculate the corporation tax your company should pay.

Annual Accounts

You must fulfil the following requirements to submit your annual accounts to HMRC.

Income Statement

This document highlights the profit you made or the loss you encountered for the following accounting period.

Statement of Financial Position

A detailed overview of your company’s accounting period end date shows a business’s cumulative value based on its assets, liabilities, capital and reserves.

Additional Details

Information about the transactions between your company and directors (such as loans, advances and guarantees).

What Should You Need to Be Filing With Companies House?

If you prepare annual accounts using the financial reporting standards for micro-entities (FRS 105), then you need to submit two documents from your Annual Accounts to Companies House that are

• The Statement of Financial Position
• Footnotes

Companies House will publish the documents you submit on its website; anyone can view them.