The government has now confirmed that changes to Companies House filing requirements will take effect from April 2028, giving businesses an additional year to prepare following concerns raised during consultation.
The biggest change for many owner managed businesses is that micro entities and small companies will be required to file a profit and loss account with Companies House as part of their annual accounts.
While companies will be able to choose whether that information is made available on the public register, the additional filing requirement will still apply.
From April 2028, micro entities and small companies will need to submit a profit and loss account to Companies House alongside their annual accounts.
The government has confirmed there will be an option to prevent this information from being published publicly, although the practical detail of how businesses will make that election has yet to be announced.
Regardless of whether a company chooses to publish its profit and loss account, both HMRC and law enforcement agencies will continue to have access to the information for compliance and fraud prevention purposes.
Another important change is that all annual accounts will need to be submitted using commercial software.
Paper filing and the existing Companies House online accounts filing service will both be withdrawn, bringing Companies House into line with the way corporation tax returns are already submitted to HMRC.
For many businesses, this will simply mean ensuring their existing accounts software or filing provider supports both HMRC and Companies House submissions.
Alongside the new filing requirements, several other reforms will also take effect from April 2028.
The option to prepare and file abridged accounts will be removed and companies will no longer be able to shorten their accounting reference period as frequently as they can under the current rules.
While these changes may affect a smaller number of businesses, they are worth understanding ahead of implementation.
For many businesses, the requirement to file a profit and loss account may feel like an additional administrative step rather than a significant policy change, particularly as HMRC already receives this information as part of a corporation tax return.
The one year delay is welcome as it gives companies, software providers and advisers more time to prepare for the transition. It also provides an opportunity to review your current filing process and ensure it will continue to meet both HMRC and Companies House requirements once the new rules come into force.
Companies House has confirmed it will contact companies using their registered email address with further guidance before the changes are introduced.
Further information is available in the government’s announcement here.
All data and figures referred to in our news section are correct at the date of publishing and should not be relied upon as still current.
