News & Information
News & Information
Not everyone comprehends the “ins and outs” of accounting and bookkeeping, so we’ve prepared a collection of useful resources that you may find helpful.
Our articles aim to remove the usual complexities and tired rhetoric that can often be associated with accountancy. We provide helpful advice on management accounting and how it affects your business. We also offer advice on UK and international corporation tax as well as how to handle year end tax returns.
We can help you to understand what goes into financing a company car or how to effectively manage your payroll. We believe that, if you understand what goes into the running of a finance department, you’ll be better placed to make a decision as to how your own finance department should be run.
Written in simple language, and easy to digest, we believe our “Accounting Explained” section is an essential resource for all business owners, whether you are a large limited aerospace company or a sole trader in construction.
Not everyone comprehends the “ins and outs” of accounting and bookkeeping, so we’ve prepared a collection of useful resources that you may find helpful.
Our articles aim to remove the usual complexities and tired rhetoric that can often be associated with accountancy. We provide helpful advice on management accounting and how it affects your business. We also offer advice on UK and international corporation tax as well as how to handle year end tax returns.
We can help you to understand what goes into financing a company car or how to effectively manage your payroll. We believe that, if you understand what goes into the running of a finance department, you’ll be better placed to make a decision as to how your own finance department should be run.
Written in simple language, and easy to digest, we believe our “Accounting Explained” section is an essential resource for all business owners, whether you are a large limited aerospace company or a sole trader in construction.
Management accounting is the combination of accounting, finance and management as well as other crucial techniques required to run a successful enterprise. Management Accounting involves:
- Advising managers about the financial implications of projects
- Explaining the financial consequences of business decisions
- Formulating business strategy
- Monitoring spending and financial control
- Conducting internal business audits
- Providing an explanation of the impact of the competitive landscape.
We prepare comprehensive management reports, accounts and financial statistics helping you to make day-to-day and short-term decisions. What’s the difference between financial and management accounting? Financial accounting produces annual reports mainly for external stakeholders, whereas management accounting generates monthly or weekly reports for an organisation’s internal audiences, such as department managers and the chief executive officer. These reports typically show the amount of available cash, sales revenue generated, amount of orders in hand, state of accounts payable and accounts receivable, outstanding debts, raw material and inventory. These reports may also include trend charts, variance analysis and other statistics.
Looking for a basic overview of corporation tax? This section explains what corporation tax is, what you must do if you are subject to corporation tax requirements and who’s liable. It also outlines how the tax is calculated as well as explaining common terms such as’ corporation tax self assessment’, ‘taxable profits’ and ‘accounting period’.
HMRC define corporation tax as ‘tax on the taxable profits of limited companies and other organisations including clubs, societies, associations and other unincorporated bodies.’ All UK based companies and organisations must pay corporation tax on all taxable profits. Non UK-based companies which operate in the UK – for example through a UK branch only have to pay corporation tax on any taxable profits from UK activities.
- profits from taxable income such as investment profits and trading profits (except dividend income)
- capital gains
- Tell HMRC that it’s liable for Corporation Tax
- Pay the right amount of Corporation Tax on time
- File a Company Tax Return and supporting documents
There are different deadlines for each of these requirements. If you don’t meet those deadlines, your company or organisation may be charged interest and/or penalties. Unlike other taxes such as Income Tax or VAT – where in most cases the filing and payment deadlines are identical – this is not the case with Corporation Tax. The deadline to pay your Corporation Tax is before the deadline to file your Company Tax Return. From 1 April 2011, you must submit your Company Tax Return to HMRC online for accounting periods ending after 31 March 2010. You must also pay any Corporation Tax that’s due electronically. Additionally your tax computations and, with very few exceptions, the accounts that form part of your Company Tax Return, must be submitted in Inline eXtensible Business Reporting Language (iXBRL) format.
What are Year End Accounts?
What are Year End Accounts?
Every company based in the UK must prepare a set of statutory accounts at the end of each financial year. This period will vary depending on the company’s accounting year end date.
In most cases, companies will prepare accounts on an annual basis for a period of twelve months, for example, from January 1st to 31st of December or from 1st March to 28th February.
An individual company’s accounting year end will be determined by one of two factors; the date on which it was registered and whether any requests to change the reference date have been approved by Companies House.
In all cases, the initial accounting year end date of a company will be on the first anniversary of the end of the month in which it was incorporated.