Requirements of a limited company UK

Company’s Annual Requirements

After forming your UK Limited company, you must be aware of the documents that must be submitted annually to Companies House, HMRC, and other Government bodies. Companies House filing requirements are compulsory even if the company is dormant.

If the required information is not timely submitted to Companies House, the Registrar of Companies can assume that a company is no longer in operation and remove it from the company register.

The confirmation statement and annual accounts are the two main "compliance" requirements for UK companies. The confirmation statement contains a snapshot of the company's information, including name, number, address, shareholders, etc and it must be sent to Companies House once a year. Annual accounts include reports on performance and activities during the financial year upon trading.

To change any existing information about the company, every limited company must submit documents to Companies House. If you are registered for VAT, HMRC must receive your VAT returns at least every quarter. If you are an employer, you must pay PAYE and NI contributions on a monthly basis.

Please watch the video given below to get more details:

Appoint a Director

You must select a minimum of one director. The director has the responsibility of managing operations and making sure that reports and company accounts are prepared.

The director must be at least 16 years old and cannot be disqualified from being a director.

Each director must be associated with two addresses:
1. An official service address that will be publicly available
2. A residential address that won't be disclosed on the public records.

If the service address is the same as the company address, you must include a different residential address.

By attaching a letter of consent with your application form, you can finally verify that the person named has accepted to act as a director.

Also read: What is the role of a UK Nominee Director?

Registered Office Address

According to UK law, your company must have a UK registered address to display this address on your website, letters, directories, terms and conditions, and other company documentation. This must be a UK address. This builds trust and transparency with your clients.

Memorandum and Articles of Association

In these legally required documents, the shareholders agree to and set out the rules to form your new company. Each shareholder must accept the Articles of Association and the Memorandum of Association by signing both documents.

UK Corporation Tax

All UK limited companies must pay corporation tax. With a limited company, your personal finances are kept separate from the company's finances, and you are not held personally liable for the company's debts.

Corporation tax is also applicable to foreign-based businesses that conduct business in the UK; in this case, tax is only payable on UK-derived profits.
However, if your company is based in the UK but operates in multiple countries, then you will need to pay tax on all profits (not just UK activities).

Also read: UK Company Registration

PSC Register

You must maintain a PSC register, which you must also submit to the central public register at Companies House. This register promotes transparency and can provide information to potential investors regarding your business.
Additionally, it helps law enforcement agencies in money laundering investigations. Thus, you are required to keep this register updated and newly registered whenever there are changes, as it is a part of your annual reporting.


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