taxes, united-kingdom, finance, private-companyI’ve been looking in to registering a company in the UK and I understand what I need to do in that sense.
What I’m struggling with is what happens after, if the company isn’t receiving any money, let alone making money, do I need to still submit financial records (tax return, etc) as there won’t be any financial records?
Also, will registering a company effect my current tax code?
Any other pointers for what I need to do after registering the company and what’s effected will be greatly appreciated.
If there is no trading involved, ie no revenue and expenses, you will have to file dormant accounts once a year. There is no limit on this nad you can file them for as long as there is no trading involved.
Filing dormant accounts is fairly easy and requires no additional software or knowledge. All you will have to do is to fill in 0 in appropriate fields on Companies House website.
And no it won’t affect your tax code. As there’s no trading.
Once you start operations you’ll need to notify HMRC and register for corporation tax and/or VAT + PAYE.
If you register a company, you are liable to file tax returns. If you do not have income or expense, you will file zero-returns tax. However, I am not very well-versed with UK tax laws, but I am guessing that you maybe able to file zero-returns only for limited number of times.
Definitely talk to a tax-consultant for more clarification.
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