Bookkeeping & Transaction Management
Do I legally need to keep bookkeeping records in the UK?
Yes. UK businesses are required by HMRC to maintain accurate accounting records, including income, expenses, bank statements, and receipts, for at least six years.
How often should bookkeeping be updated?
Ideally, bookkeeping should be updated weekly or monthly. Regular updates help maintain accuracy, support VAT compliance, and prevent issues at year-end.
Can I do my own bookkeeping and still use an accountant?
Yes. However, many SMEs choose professional bookkeeping to reduce errors, save time, and ensure records meet HMRC and accounting standards.
What documents do you need for bookkeeping?
Typically:
- Bank statements
- Sales invoices
- Purchase receipts
- Expense records
- Payroll information (if applicable)
Statutory Accounts Preparation & Filing
What are statutory accounts?
Statutory accounts are annual financial statements that UK limited companies must prepare and submit to Companies House and HMRC.
When are statutory accounts due?
Companies House: Usually 9 months after the accounting period end
HMRC: Corporation tax return is due 12 months after the period end, but tax must be paid within 9 months and 1 day
What happens if statutory accounts are filed late?
Late filings can result in financial penalties, increased scrutiny, and potential legal consequences.
Do sole traders need statutory accounts?
No. Statutory accounts are required for limited companies. Sole traders instead file Self Assessment tax returns.
VAT Return Preparation & Submission
When do I need to register for VAT?
You must register for VAT if your taxable turnover exceeds £90,000 (current HMRC threshold) in any 12-month rolling period.
How often are VAT returns submitted?
Most VAT-registered businesses submit returns quarterly, though some may file monthly or annually depending on the VAT scheme used.
What is Making Tax Digital (MTD)?
MTD is an HMRC initiative requiring businesses to keep digital VAT records and submit returns using compatible software.
What penalties apply for late VAT returns?
HMRC operates a points-based penalty system. Repeated late submissions can result in fines and interest charges.
Payroll & Tax Compliance Services
Is payroll mandatory if I have employees?
Yes. UK employers must operate payroll, calculate PAYE, and submit Real Time Information (RTI) reports to HMRC.
How often must payroll be processed?
Payroll is typically processed monthly, though weekly and fortnightly schedules are also common.
What is RTI reporting?
RTI (Real Time Information) requires employers to submit payroll data to HMRC every time employees are paid.
What happens if payroll submissions are late or incorrect?
Late or incorrect submissions can lead to penalties, interest charges, and employee dissatisfaction.
Financial Reporting & Business Advisory
What are management accounts?
Management accounts are periodic financial reports (monthly or quarterly) that show performance, cash flow, and profitability.
How can financial reporting help my business?
Clear reporting helps you:
- Monitor profitability
- Manage cash flow
- Identify trends
- Make informed business decisions
Do small businesses need financial reporting?
While not always legally required, regular financial reporting is highly recommended for maintaining control and planning growth
Can advisory services help small businesses?
Yes. Advisory support based on accurate financial data can help businesses improve efficiency, manage costs, and plan strategically.
General & Compliance-Related FAQs
Are my financial records kept confidential?
Yes. All client information is handled with strict confidentiality and in line with professional and ethical standards.
Do you work with UK businesses only?
Our services are primarily focused on UK businesses, ensuring full alignment with HMRC, Companies House, and UK accounting regulations.
How do I get started?
You can contact us to discuss your requirements. We’ll review your needs and recommend the most suitable accounting and bookkeeping support.