What if you don’t receive a ‘Notice to deliver a Company Tax Return’ from HMRC?

You still must tell HMRC your company is liable for Corporation Tax. You must do this within 12 months of the end of your Corporation Tax accounting period.If you don’t, your company or organisation may be charged a penalty. HMRC calls this a ‘failure to notify’ penalty.

When is the deadline for filing the first account?

The first account must be filed in 21 months after registration with Companies House.

What are the penalties for keeping inadequate business records?

HMRC may charge a penalty of up to £3,000 per tax year for a failure to keep records or for keeping inadequate records.

How many types of primary business Tax in UK ?

Income Tax National Insurance Corporation Tax Capital Gains Tax VATRead more: Difference between LLP and private limited How to open a limited company in UK?

What is a dormant company?

A company or association may be ‘dormant’ if it’s not doing business (‘trading’) and doesn’t have any other income, for example, investments.

Can an external auditor perform an internal audit in the UK?

In the UK, it is generally discouraged for external auditors to also perform internal audit functions due to independence and conflict of interest concerns:

External Auditors provide an independent opinion on financial statements, which requires them to remain completely independent from the organization they audit.
Internal Auditors assess and enhance internal controls and governance within the organization, often working closely with it, which could compromise the independence required of an external auditor.

Mixing these roles can lead to conflicts of interest and may impair the external auditor's ability to provide an unbiased opinion. UK professional standards, upheld by bodies like the Institute of Chartered Accountants in England and Wales (ICAEW) and the Association of Chartered Certified Accountants (ACCA), emphasize the importance of maintaining strict auditor independence, thereby generally advising against an external auditor undertaking internal audit duties.

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