Accounts and corporation tax are two important aspects of running a business. Luckily 7M Accountancy has all the tools and experience to make this process as easy as possible for you and your business. In the United Kingdom, companies are required to prepare annual accounts and pay corporation tax on their profits.

From profit to tax — and the deadlines that follow. We adjust your profit for tax, apply the right rate, and keep every Companies House and HMRC deadline on track.

Annual Accounts

Every company must prepare annual financial statements, including a profit and loss account, a balance sheet, and accompanying notes. The accounts should be prepared in accordance with generally accepted accounting principles, such as UK Generally Accepted Accounting Practice (UK GAAP) or International Financial Reporting Standards (IFRS). Small companies may be eligible for simplified reporting requirements.

Filing of Accounts

Companies are required to file their annual accounts with Companies House, the official registrar of companies in the UK. The deadline for filing accounts depends on the company's size and can range from nine to twelve months from the end of the accounting period.

Corporation tax rates

Corporation tax is charged on your company's profits. The main rate is 25% on profits over £250,000; companies with profits of £50,000 or less pay the small profits rate of 19%, and Marginal Relief tapers the rate between the two. We calculate your taxable profit, claim every allowance and relief you're entitled to, and make sure the right amount is paid.

Tax Return & Payment

Companies need to file a corporation tax return, which provides detailed information about the company's income, expenses, and tax calculation. The deadline for filing the tax return is usually 12 months after the end of the accounting period. Corporation tax payments are generally due nine months and one day after the end of the accounting period.

Group Relief

Companies that are part of a group can often transfer losses or other tax reliefs within the group, allowing the profits of one company to be offset against losses of another. This can reduce the overall tax liability of the group.

Tax Planning & Compliance

It's important for companies to engage in tax planning to ensure they comply with all relevant tax laws and regulations while optimising their tax position. Our team can advise you and keep you compliant while making the most of the reliefs available to you.

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Accounts & Corporation Tax