Part 1: Companies House
Soon there will be new rules about the way you file your accounts. Start preparing now. Even though the start date will be April 2027. You must use commercial software to file your accounts. There is no other way.
If you have an accountant, they should be able to help. If not, you should find one. If you are classed as a small or micro company, there is more information to file. This will include your profit and loss account whereas previously only you and any other director and all shareholders received the information. Abridged accounts will NOT be accepted.
Companies House say other changes are on the way.
If the Profit and Loss account is published by Companies House your competitors will see your profit margin and expenses. Your customers will see how much money you are earning. Companies House should be persuaded not to publish your Profit and Loss Account. If you agree with my comment and would like to discuss what to do, please give me a call for a no cost 15 minute chat (details below) about this change and help me find a way to stop the publication of this valuable information as your competitors will enjoy learning about your business and your profit or loss.
Additionally, Directors of all companies will now be subject to the new verification regulations. A valid email address, residential address, potentially photographic information and supporting documentation.
Choose and check your new company name, your director/s, share capital, shareholder/s and registered office. Your accountant can help you. You can register:
- by post
- using an agent such as an accountant
- using third party software
- using Companies House
- town of birth
- mother’s maiden name
- father’s first name
- telephone number
- national insurance number
- passport number
You will confirm the people with significant control {PSC) during registration. For example, this could be anyone with more than 25% of the shares or voting rights.
You’ll need to create a Government Gateway user ID and password for your company when you register it. You cannot use your personal Government Gateway ID.
Part 3: MTD- Making Tax Digital
If you are self-employed (not a partnership) and or a landlord, with or without VAT registration, MTD will apply to you from April 2026 -yes, next year if your turnover or rent is above £50,000.
For those with income above £30,000 MTD will apply from April 2027. The income level goes down to £20,000 from April 2028. You MUST use MTD compliant software and choose your year-end date carefully and confirm to HMRC. You may wish to consider changing your year end to 31st March or 5th April and this will be confirmed to HMRC. Beta testing is happening now and HMRC will welcome any volunteers.
You will submit quarterly details of all transactions during the quarter. If you are registered for VAT, you will file your return as before without including the accounting information which will be filed separately.
Contact
Howard Gross BFP FCA FCCA CTA, Director
