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May 8th 2014 / BY: Wisteria

Advice on Annual Accounts from Chartered Accountants in London

It is usually advisable to consult chartered accountants in London before and after a company has been formed. Chartered Accountants in London provide advisory services to their clients regarding a number of accounting and tax related matters and are professionals who are qualified to prepare the financial statements of a company. For specific tax advice it would be beneficial to consult a tax accountant, because they play a vital role in ensuring that their clients are paying the correct but lowest amount of tax possible by legally lowering the tax liability.

After the company formation process, every limited company is required to prepare annual accounts for each financial year. Annual accounts are financial reports of a limited company that consist of all of the accounting information covered in that period. A financial year is a period that a company uses for accounting purposes and for preparing financial statements; it may or may not be the same as a calendar year. A regulatory framework is used for the format and content of a company’s annual accounts. Generally most companies prepare their accounts under Companies Act 2006; however some companies might choose to prepare their accounts under international accounting standards, IAS accounts.

Chartered Accountants in London

It is important to note that, UK companies preparing their financial statements under international accounting standards are not exempted from the requirements of Companies Act 2006. The only difference is that they apply the international standards rather than UK GAAP.

Annual accounts need to be submitted to Companies House, and the company’s first accounts are due 21 months after the incorporation of the company. The next accounts are due within 9 months from the next accounting reference date. The accounting reference date is usually the last day of the month that the company was incorporated in. If the accounts are filled late, Companies House imposes a fine depending on how late they were filed. If the accounts are not filed at all, then Companies House could decide to dissolve the company.

There are a number of Chartered Accountants in London, who provide advisory services and help before and after the registration of a company. Various services are provided including advisory services such as company secretarial services, compliance services, VAT planning, payroll and back office and outsourcing services.

To find out about Wisteria Chartered Accountants, Tax and Business Advisers and the variety of services provided for companies and individuals please contact 0208 952 0140 or email info@wisteria.co.uk.