Which Reporting Standard Applies to Your Business?

UK companies must prepare statutory accounts using a financial reporting standard. The right framework depends on the size of your business:

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FRS 105 (Micro-Entity Accounts)

 

Applies if your company meets two of the following:

• Turnover ≤ £632,000

• Balance sheet total ≤ £316,000

• ≤ 10 employees

 

Benefits:

• Highly simplified accounts

• No need to prepare a directors' report

• Exemption from audit requirements

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FRS 102 Section 1A (Small Company Accounts)

 

Applies if your company meets two of the following:

• Turnover ≤ £10.2 million

• Balance sheet total ≤ £5.1 million

• ≤ 50 employees

 

Benefits:

• More detail than FRS 105, but still simplified

• Suitable for companies growing beyond micro-entity status

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FRS 102 (Full Standard)

 

Applies if your company exceeds the small company thresholds.

 

Features:

• Full disclosure accounts

• May require audit depending on structure

• Generally used by medium to large companies

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We’ll help determine the right standard and prepare your accounts accordingly.

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What Can Be Claimed Through a Limited Company?

 

Understanding what’s allowable is key to reducing Corporation Tax liabilities. Common allowable expenses include:

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• Accountancy fees

• Staff salaries and employer NI

• Directors’ salaries and pension contributions

• Business travel and accommodation

• Office expenses (incl. home office portion)

• Marketing and advertising

• Software subscriptions (e.g. Xero, Microsoft 365)

• Business insurance

• Mobile phones and internet used for business

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We also advise on:

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• Capital allowances (e.g. computers, office furniture)

• Tax-efficient dividend and salary splits

• Use of director’s loans and reimbursements

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Responsibilities of Limited Companies

 

As a company director, you’re responsible for keeping the business compliant. Key obligations include:

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• Filing annual accounts with Companies House

• Submitting a CT600 Corporation Tax Return to HMRC

• Paying Corporation Tax (usually 9 months and 1 day after year-end)

• Keeping accurate accounting records

• Maintaining a confirmation statement (annually)

• Operating payroll if paying directors/employees

• Registering and reporting for VAT (if over threshold)

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Missing deadlines can result in penalties and damage your company’s reputation. We ensure everything is handled on time.

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Why Choose JSC Accounting?

 

We specialise in small company accounts, particularly for micro-entities and SMEs. Our clients include freelancers, consultants, trades, and directors across the UK who want:

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• Clear, compliant accounts

• Efficient tax structuring

• Friendly, proactive service

• A 100% online accountant who understands how to save them time and money

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Whether you're just starting or growing steadily, we help you:

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• Choose the right structure

• Optimise salary/dividend planning

• Keep your company lean, efficient, and HMRC-ready

 

Let’s take the hassle out of your year-end.​