Accounting Reference Dates - Company Formation - UK Registration Services

This article contains details on three areas:

• Accounting reference dates - (ARD).

This refers to the end of the financial accounting year and is the date that Companies House require the accounts of the company.

• Preparing and filing accounts

. Companies House has strict dates, specific to your company, when the accounts have to be received by. If this date is missed an automatic fine will be sent to your company.

• The elements of accounts.

 

This article will only advise you on the exemptions available and whether you will have to have an audit carried out your accounts. Anything more specific will require your accountant's advice.

Accounting reference dates:

What is a accounting financial year?

The year reported in your accounts is the company's financial year. This commences from the date of incorporation until the end of that year.

The next financial year begins the day following the end of the prior financial year. The financial year is also known as the the 'accounting reference' period.

The accounting period will end on the accounting reference date or alternatively a date up to a week within the ARD.

How is an ARD determined?

If it is a newly incorporated company, the ARD is the date of incorporation.

Can the accounting reference date be altered?

If you complete a form 225 you can change the ARD.

What are the constraints on altering the accounting reference date?

There are only restrictions on lengthening the ARD (you are entitled to shorted the period as much as you wish). -The period can not be extended to more than eighteen months.

A company is restricted from extending the period more than one time in five years unless: -the company is in administration -it is necessary to adjust the accounting reference date so it is inline with a parent or subsidiary undertaking.