How to Change Company Accounting Period

10 February 2023

By Abira Pirabakaran

Changing Company Accounting period with HMRC and Companies House

Changing your Company Accounting Dates

In this article, we aim to explain how you can change your company’s year-end at Companies House and HMRC should you need to.

Some rules to remember before changing your company’s year-end:

The accounting period can be altered to anything between 1 day to 18 months. You can lengthen you company’s accounting period once every 5 years but can shorten it as many times as you like.
However, there are some circumstances in which you can extend your financial year more often than once every five years.
These are:

if you have got special permission from Companies House
aligning dates with parent or subsidiary company
if the company is in administration

You cannot amend the accounting period if the accounts are overdue.

You may also choose to shorten your period, especially if this is your company's first year of trading, to avoid the necessity to file 2 CT600 to HMRC for an extended period.

How to change your company’s year-end:

You can apply online with Companies House. Alternatively, you can apply by post by filling out the AA01 form

It would be more advisable to apply online since paper forms take Companies House longer to process!

So, what happens now?

Changing the company’s year-end, consequently changes your deadline for filing your accounts. To remind you, you have 9 months from the end of your new accounting period to file your accounts to Companies House.

Please note that this is not applicable if you are extending your company’s first year, These company accounts must always be filed 21 months from the date of incorporation.

It is best that you also inform HMRC of the changes made to your company’s year-end, so that you will not have to submit a separate set of accounts and CT600 for HMRC. Informing HMRC means that the dates at both companies house and HMRC align, resulting in less work for you!

For example, at HMRC you need to submit your income and balance sheet and at Companies House you only need to submit your balance sheet. By changing your dates only at companies house and not at HMRC- means you will have to submit two sets of IXBRL accounts, for different periods. To contact HMRC, please visit their webiste.

Author: Abira Pirabakaran

Abira is one of our Digital Accountants specialising in Small and Micro Accounting, Corporation Tax and SA100 Personal Tax. She also supports the delivery of our Company Incorporations Service and writes articles for our Knowledge Base to provide customers with a wealth of useful information. Abira holds a First-class Degree in Accounting and Finance and in her spare time enjoys exploring the corners of the world.

Read All articles by Abira Pirabakaran

This article is information only and has been prepared for general guidance on matters of interest only, and does not constitute legal, accounting, tax, investment or other professional advice or services. You should not act upon the information contained in this article without obtaining specific professional or legal advice. No representation or warranty (express or implied) is given as to the accuracy or completeness of the information contained in this article, and, to the extent permitted by law, Comdal Limited, its members, employees and agents do not accept or assume any liability, responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this publication or for any decision based on it.