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What did you come to London Accountants for?
“All the team at London Accountants are both knowledgeable, proactive and a pleasure to deal with. When trying to build a business and our team. To have these guys in our virtual back office, means we can focus on winning work and delivering a bespoke product and service to our clients.”
The CIS (Construction Industry Scheme) in the UK applies to various trades in the construction industry, including building, civil engineering, electrical, plumbing, heating, demolition, groundwork, security systems, painting, tiling, flooring, and scaffolding. Contractors and subcontractors in these trades must comply with the scheme’s tax deduction and reporting requirements.
In the UK, the deadline for filing your company’s tax return depends on the company’s accounting period. The accounting period is the period for which the company prepares its financial statements.
For most companies in the UK, the deadline to file the company tax return is:
For example, if your company’s accounting period ends on December 31st, the deadline for filing the company tax return online would be December 31st of the following year. If you are filing a paper return, the deadline would be the end of September of the following year.
Companies may have two accounting periods when they decide to change their accounting year-end, resulting in a transitional or “dual” accounting period. This situation can arise for several reasons:
Change in Financial Year: A company may decide to change its financial year-end for various reasons, such as aligning it with the parent company’s year-end, facilitating reporting, or improving financial planning. When changing the financial year-end, there is a need for a transitional or “dual” period to cover the gap between the old year-end and the new year-end.
Acquisitions or Mergers: In case of a merger or acquisition of companies with different financial year-ends, a transitional accounting period might be necessary to consolidate the financial statements and align the accounting periods of the merged entities.
Change in Company Status: If a company changes its legal structure (e.g., from a sole proprietorship to a corporation), it may result in a change in the accounting period, leading to a dual accounting period.
Compliance with Reporting Standards: Companies might need to comply with different reporting standards or regulatory requirements. For instance, a company that previously followed the UK Generally Accepted Accounting Principles (UK GAAP) might transition to International Financial Reporting Standards (IFRS), leading to a dual period.
During the dual accounting period, companies must prepare financial statements for both parts of the period and ensure that transactions and financial records are accurately accounted for in each segment. This process can be complex, and companies usually seek professional accounting assistance to handle the transitional period and ensure compliance with accounting standards and tax regulations.