Generate micro-entity company's first final accounts

Question asked by Gregory Sanderson 6 years ago

Hello,

My question is for any ClearBooks user who has submitted final accounts to Companies House and HMRC: how did you generate those accounts?

Only I signed up to use ClearBooks because I wanted to create a micro-entity company's first final accounts. After searching some other forum posts about this, it seems that isn't actually possible. Has development of the final accounts app stalled?

I took a look at the online submission tool provided by HMRC (https://www.gov.uk/annual-accounts) and they say they need at least a balance sheet and profit/loss. I do see both of these reports are available to me within ClearBooks as it is now (although apparently only month to month, and not as final totals). Are these sufficient for Companies House and HMRC?

I'm currently at this point (see image) so it is asking me which type to use. I assume the last option - the simplest.

Do I have to ditch ClearBooks and quickly import all the data into something else to generate what they need?

Thanks.

file

7 Replies

Hi Anna - strictly you are supposed to prepare formal accounts and send them to shareholders and then use those to fill in the .GOV boxes in order to submit the numbers to Companies House and HMRC.

In reality though for small owner managed businesses most will get the numbers on their bookkeeping software or spreadsheets and use those to complete the boxes.

In answer to your question, yes, using .GOV's joint filing feature enables you to keep both Companies House and HMRC happy in one go.

Hi Gregory - yes the Final accounts project has been suspended, mainly because there was to be more work required, with the release of the new Micro Entity accounting standard (FRS105) and the change over to Digital Tax Accounts for small businesses in a couple of years time.

I've not used the GOV gateway to submit for years, but from the screen shot, it talks about "filling in" and so you maybe on the joint filing feature where you just take the numbers from your CB Balance sheet and P&L and "Fill in" the boxes presented you on the GOV screen.

Hi Paul,

That is disappointing.

Maybe I will be able to fill in the values based on the output, however I've found two example sets of micro-entity accounts, including a P&L and balance sheet - and neither match the format generated by ClearBooks:

http://hatgroup.co.uk/documents/Phoenix%20-%20micro%20accounts.pdf http://www.mercia-group.co.uk/Downloads/Micro-entities%20Q%20and%20A%20and%20sample%20accounts.pdf

Any recommendations for a product to make the final accounts if the values can't be simply copied?

Hi again Gregory

The balance sheet and P&Ls created by CB are detailed and used to best judge the performance and financial standing of the business. The Micro Entity accounts format are really of no use to anyone, they are a simple annual summary of the detailed statements, and so, you just take the numbers in the two detailed statements and add them up to provide the totals required in the M-E accounts. For example you may have many expense lines on your P&L for salaries, wages, NI etc but the M-E P&L only needs to show one total.

The two links you provide are somewhat out of date this year but hundreds of thousands of small businesses use the GOV facility to fill in the boxes, so give it a go. Having said that the M-E accounts are of no use, HMRC will probably still need you to add the detailed P&L, and there will, I'm sure, be a screen of boxes for this.

All the 3rd party software I've ever used or seen, is designed for use by accountants to facilitate them preparing accounts and tax returns for all of their clients, and so the price is usually prescriptive for one-off accounts like this. The cheapest I've seen (and used) is Taxfiler, you import, or tap in, the Trial Balance from your CB accounts at the year end then create the M-E accounts, one cut down version to submit electronically to Companies House and another fuller version to attach to the Tax return, you prepare on the software, to submit electronically to HMRC.

Unless you have tax knowledge, I'm not sure you'll cope with 3rd party software and so I strongly suggest you fill out all the GOX boxes, as it does it all for you, or get yourself an accountant.

Good luck

Hi Paul,

Good point. I ended up going through the gov.uk form and was indeed presented with a screen (or ten) of boxes! But I seem to have managed it as indeed it does all of the calculations for you.

Thanks for the advice.

Greg

hello, I'm getting ready to file annual accounts and CT for very small Ltd company, if i file using GOV gateway, does that mean i dont have to do anything else? dont have to prepare them myself and sent them to CH and HMRC and all i need to do is fill the pages on GOV site? is that right?

Anna

Hi Anna - strictly you are supposed to prepare formal accounts and send them to shareholders and then use those to fill in the .GOV boxes in order to submit the numbers to Companies House and HMRC.

In reality though for small owner managed businesses most will get the numbers on their bookkeeping software or spreadsheets and use those to complete the boxes.

In answer to your question, yes, using .GOV's joint filing feature enables you to keep both Companies House and HMRC happy in one go.

Thank you so much Paul for your quick reply and clear answer to my question.

Reply to this question

Attach images by dragging and dropping or upload
 

Your comments will be public and can be answered by anyone in the Clear Books community.

Find out what we do and who we are