Keeping on top of the deadlines for your company filing and tax payments can be hard work. With so many elements to coordinate and keep track of, it’s easy for deadlines to occasionally slip through the cracks – but that can lead to fines, penalties and other issues.
The key is to stay fully in control of your deadlines and to plan out the key dates across the coming business year.
Your key deadlines for the coming year
To help you manage and plan your company deadlines effectively, we’ve created a list of the key dates – so you can factor these into your planning and avoid those costly penalties.
- File your first year accounts with Companies House – 1 year and 9 months (to the specific day) after your company’s incorporation date.
- File your annual accounts at Companies House – 9 months after your company’s financial year-end.
- Pay your corporation tax (or tell HMRC that you don’t owe any) – 9 months and 1 day after your accounting period for corporation tax ends. (Note: if your accounting period is longer than 12 months, the first deadline is 21 months and 1 day after the accounting period started, and the second one is 9 months and 1 day after the accounting period ends).
- File a Company Tax Return – 12 months after your accounting period ends.
- Submit your VAT return – 1 month and 7 days from the end of your VAT period.
- Make VAT payments – 1 month and 7 days from the end of your VAT quarter (1 month and 10 days if payment is by Direct Debit).
- End of personal/payroll tax year – 5th April
- File P35 (Employed Annual Return) and P14 – 19th May
- Provide P60 to employees (for previous tax year) – 31st May
- Employment related securities (ERS) schemes registered (for previous tax year) – 6th July
- ERS Annual Return (for previous tax year) – 6th July
- Enterprise Management Incentives Scheme notice of options granted – Within 92 days of grant
- Submit P11D, P11D(b) and P9D returns (for previous tax year) – 6th July
- Pay Class 1A National Insurance contributions to HMRC (for previous tax year) – 19th July
- Make second payment on account for personal tax – 31st July
- Submit self-assessment tax return (if filing paper copy) – 31st October
- Make first payment on account for personal tax and balancing payment for previous year – 31st January
- Make Capital Gains Tax payment – 31st January (60 days after completion for gains re residential property)
- Final date to submit self-assessment tax return online for personal tax – 31st January
- PAYE and National Insurance Payments due – 19th calendar day of the month after the end of the month or quarter, as applicable (22nd for electronic payments). (For example; many people will think of payroll month 9 as being Dec when, actually, it runs up to 5th Jan. This makes a difference when running weekly payrolls. PAYE payments would be due on 19th/22nd Jan)
There’s a full breakdown of limited company compliance requirements available on the HM Revenue & Customs website here.
Talk to us about planning your company deadlines
Coping with your company deadlines needn’t be a huge chore, if managed in the right way.
Where we carry out the related activities (e.g. your payroll processing) we’ll monitor those deadlines automatically for you – but bear in mind that you remain legally responsible for these deadlines being met, and for any penalties if deadlines are missed.
You can monitor the deadlines for all relevant company and tax activities, but pay particular attention to those we’re not carrying out for you. Having a clear timeline, with reminders in your online diary or your project management software, will help immensely.
Get in touch to talk about your yearly tax planning
Once you’ve sold your business and have received the funds from the sale, you’re then faced with a big question: what happens next?
After guiding the helm of your company, it will be tough to let go. But if the circumstances are right, there’s no reason why exiting the business should be a sad occasion. You’ve built a stable business and personal legacy. You’ve employed a team of talented people and helped them drive their careers. And you’ve brought your products and/or services to a satisfied and loyal customer base.
So, how will you now focus your time and effort? Let’s look at your options…
Retire and live out the entrepreneur’s dream
After many years of hard work, worries and stress, the thought of a business-free lifestyle may well be appealing. But retirement isn’t for everyone. If you have thrived on the pressure, challenges and excitement of being the captain of your business ship, retiring may seem like a step away from the action.
On the flipside, the allure of a more relaxed lifestyle may be strong. With the proceeds from your sale, you should be in a position to make you, your family and those around you very comfortable. It may be that the entrepreneur’s dream of building a business, selling up and retiring to a hot climate is your idea of perfection.
Stay involved in the business
Even though you don’t own the business anymore, it doesn’t mean you have to step away completely from the company. You could remain involved in the business in some capacity, allowing you to ‘keep your hand in’ and support the future course of the business.
For example, you could become:
- A joint partner in the business – you could sell a part share in the business and work as a joint partner with your new investor. This allows you to free up some capital, while maintaining an element of control and influence.
- An external adviser or consultant – you could advise the new owner and their board as an outside adviser. After all, who knows this business better than you? Becoming a consultant could well be an astute move and keeps you in the loop with the future path of the business – while charging out a consultancy fee as an added benefit.
- A non-executive director (NED) – you could join the board as a NED and use your personal experience to help guide and support the new owner and their board. If that’s the route you choose, it’s a good idea to retain some shares in the business, so you have a vested interest in the company’s performance and your own share value.
- An informal adviser to your family – if you’re handing the business down to the next generation of your family, they will almost certainly want your advice. You’ve been through the ups and downs of setting up the business, so you’re in the best position to give your family the guidance and tips they need to run a smooth operation.
Set up a new business
With so much experience behind you, it could be that you’re itching to start the whole business cycle again. If you’ve got the ideas, the capital and the motivation to start another new business, this can be a new and rewarding challenge to get your teeth into.
First time around, you’ll have been a little green and less aware of the many pitfalls of founding a new business. You’re now better prepared and more knowledgeable about what’s required from a founder and business leader. We learn plenty from our mistakes, so you’re in a great position to return to the business cycle again with a new idea.
As with any new businesses venture:
- Make sure you have a detailed breakdown of your business idea
- Write an in-depth business plan that maps out your journey
- Ensure you have the funding to get this idea off the ground
- Be prepared for a period of hard work and lower income before the company takes off.
Do your bit for charity and your community
We all have interests and causes that are close to our heart, so supporting charities and community projects in these areas is a great way to use your money for long-term good.
Donating money to your chosen charity or social enterprise is also a triple whammy:
- You get to provide funding to causes that are close to your heart
- You can be philanthropic and help people who are in challenging situations
- You get the positive impact of tax breaks for donating to charity.
You also have the option of putting your own time into working with these charitable causes. You can use your expertise and experience to guide them, help with fundraising or provide hands-on support at events, community projects or lobbying the Government for greater support.
The end of the road, or a new chapter?
Once the business is sold and you close your office door for the last time, you take a step into the unknown. But with so many varied and valuable options to choose from, your life post-exit need never be boring or predictable.
The potential is there for an exciting new venture, or the pleasure of relaxing in the sunshine by the pool. It’s up to you to define the next chapter in your life and your business career.
If you’re thinking about exiting your business, please do get in touch. We’ll help you plan your exit strategy, add value pre-sale and choose the best options for your personal future.
Talk to us about your next step.
Ascentant Accountancy are based in Derby (01332 981920, firstname.lastname@example.org) and Ripley, Derbyshire (01773 424009, Ripley@ascentant.co.uk), call us to see how we can assist.