How to Prepare for Your First Year-End as a UK Company

If you’ve recently started a UK limited company, your first year-end is a major compliance milestone. It marks the end of your company’s first financial period and triggers several legal obligations—including filing accounts and tax returns.

This article explains how to prepare for your first year-end, what you must submit, and how Dragonfly Associates helps clients meet their obligations, subject to agreement.

What Is a Year-End for a UK Company?

A year-end (or accounting reference date) is the end of your company’s financial reporting period.

For most companies, Companies House sets the first year-end as:

• 12 months from the end of the month of incorporation

For example:
Incorporated on 5 June 2025 → Year-end will be 30 June 2026

You can change your year-end if needed, but it’s best to plan early. We can assist with year-end alignment where relevant.

What Must Be Filed at Year-End?

As your company reaches its year-end, you’ll need to file:

• Annual accounts (to Companies House)
• Corporation Tax return (CT600) and accounts (to HMRC)
• Confirmation Statement (if due around the same time)

Deadlines:

• Annual accounts: 21 months after incorporation (first year only)
• Corporation Tax return: 12 months after year-end
• Corporation Tax payment: 9 months + 1 day after year-end

Dragonfly Associates monitors these deadlines and manages filings for clients under our accounting or compliance packages.

Preparing Financial Records

You’ll need to prepare:

• A full record of company income and expenses
• Invoices, receipts, and bank statements
• Payroll summaries (if applicable)
• Director expense claims and dividends (if taken)

These form the basis of your accounts and tax return. We provide clients with digital bookkeeping tools and templates to make this easier.

Accounting Systems and Support

To prepare for year-end, make sure you have:

• A separate business bank account
• Organised accounting software (e.g. Xero, FreeAgent, QuickBooks)
• Up-to-date records for all transactions

Dragonfly Associates provides accounting software setup, training, or managed bookkeeping depending on your selected service plan.

Common Mistakes to Avoid

• Mixing personal and company finances
• Not reconciling accounts regularly
• Failing to register for Corporation Tax
• Missing VAT or PAYE registration (if required)
• Ignoring the deadlines or relying on memory

We help clients avoid these issues by offering ongoing monitoring, alerts, and documentation checks.

Tax Planning at Year-End

Year-end is also an opportunity to:

• Review allowable expenses
• Optimise director pay structure
• Plan for dividends or bonuses
• Identify tax relief opportunities (e.g. R&D, capital allowances)

Dragonfly Associates provides advisory sessions for clients under accounting or director support agreements.

Frequently Asked Questions

Can I change my year-end?

Yes, but you must apply through Companies House. It must comply with UK rules on length and timing.

What happens if I miss the deadline?

Late filings result in automatic penalties from Companies House and HMRC. Repeated lateness may trigger further enforcement.

Can I do it all myself?

You can, but most directors prefer expert help to avoid errors, delays, or tax inefficiencies. We offer full year-end support.

Navigate Your First Year-End with Confidence

Your first year-end sets the tone for your company’s future compliance. With the right systems and support, it becomes a smooth and valuable process—not a stressful deadline.

Dragonfly Associates helps new companies prepare, file, and optimise their year-end accounts and tax submissions—delivered under clearly defined service agreements.

To prepare for your first year-end or receive a personalised checklist, contact us today.