Ltd. – Dormant company
Your company is called ‘dormant’ by Companies House if it’s had no ‘significant’ transactions in the financial year that you’d normally report. Significant transactions don’t include:
filing fees paid to Companies House (Ltd.)
penalties for late filing of accounts
money paid for shares when the company was incorporated
Dormant companies that qualify as ‘small’ only need to send Companies House abbreviated accounts and don’t need to be audited.
Check if your company is also dormant for Corporation Tax.
Your company will be ‘small’ if it has any 2 of the following:
a turnover of £6.5 million or less £3.26 million or less on its balance sheet
50 employees or less
If your company is small, you can send abbreviated accounts to Companies House. Abbreviated accounts are made up of the balance sheet from your company’s statutory accounts, along with any notes.
The balance sheet must have the name of a director printed on it and must be signed by a director.
Sending abbreviated accounts means less information about your company will be publicly available.
If your company is small, you can also:
use the exemption so your company’s accounts don’t need to be audited
choose whether to send a copy of the director’s report or not
Ltd. – Micro-entities
Micro-entities are very small companies. Your company will be a micro-entity if it has any 2 of the following:
a turnover of £632,000 or less £316,000 or less on its balance sheet
10 employees or less
If your company is a micro-entity, you can:
prepare simpler accounts that meet statutory minimum requirements
send only your balance sheet with less information to Companies House
benefit from the same exemptions available to small companies