Company filing penalties you should avoid: a guide for directors
Most company directors know they must file annual accounts and a confirmation statement with Companies House. However, missing these deadlines can trigger unnecessary costs. Moreover, in some cases, the consequences become far more serious.
Late filing penalties for annual accounts
Firstly, the most common financial penalties apply to the late filing of annual accounts. Consequently, directors should understand the current scale of charges. For a private company, the current penalties are:
- Up to one month late, £150
- More than one month but not more than three months late, £375
- More than three months but not more than six months late, £750
- More than six months late, £1,500
Furthermore, if your company files its accounts late in two successive years, Companies House automatically doubles these penalties. As a result, this can become an expensive and entirely avoidable mistake. Therefore, company filing penalties you should avoid often stem from a simple lapse in scheduling.
Confirmation statement rules
Next, the rules for confirmation statements work differently. Although no standard scale of automatic late filing penalties exists, failing to submit one still breaches the Companies Act. Consequently, Companies House may issue financial penalties or take enforcement action. In addition, they can prosecute company officers directly. Moreover, in serious cases, they may begin striking the company off the register. Similarly, directors can face fines of up to £5,000 for failing to meet their legal obligations.
Simple steps to stay compliant
Fortunately, you can easily prevent these problems. To begin with, keep a diary of your filing deadlines. Secondly, ensure your accounting records stay up to date throughout the year. Finally, prepare your accounts well before the filing deadline arrives.
In short, a few simple administrative procedures prevent unwanted charges. Additionally, they protect your company’s reputation. As a result, your business remains fully compliant with its Companies House obligations. Ultimately, the company filing penalties you should avoid often trace back to poor planning rather than genuine oversight.
We can help
Furthermore, if you instruct us to do so, you can rest easy. Indeed, we will happily monitor your filing deadlines for you.
Get in touch today
Do not let company filing penalties you should avoid catch your business out. Instead, contact our team now to discuss how we can manage your Companies House deadlines and keep your company fully compliant.
