What documents your accountant needs at year-end

Why accurate records matter

As a director of a UK limited company, you have a legal obligation to keep accurate financial and accounting records. These records form the basis of your annual accounts, which are submitted to Companies House, and your Company Tax Return (CT600), submitted to HMRC.

Good record-keeping isn't just about compliance; it helps you understand your business's financial health, make informed decisions, and can prevent penalties for late or incorrect submissions. HMRC can issue fines for inadequate records.

Essential financial records

Your accountant will need a comprehensive set of documents to prepare your year-end accounts accurately. These typically cover all income and expenditure for your company's accounting period.

Here's a breakdown of the key financial documents:

• Bank statements: Provide statements for all business bank accounts and credit cards for the entire accounting period. This includes any foreign currency accounts.
• Sales invoices: Copies of all invoices issued to your customers, detailing your company's income.
• Purchase invoices and receipts: All invoices and receipts for business expenses, including supplier bills, petty cash receipts, and mileage logs. This demonstrates what your company has spent.
• Payroll information: If your company has employees (including directors), provide full payroll records. This includes:
• P60s for all employees.
• Details of wages, salaries, bonuses, and benefits-in-kind.
• PAYE (Pay As You Earn) and National Insurance contributions submissions.
• Pension contribution records.
• Director's loan account: A clear record of any money you've personally put into or taken out of the company. This is crucial for calculating any tax implications.
• VAT records: If your company is VAT registered, provide all VAT returns filed throughout the year and your VAT account. This includes records of output tax (VAT charged) and input tax (VAT paid).

Other important documents

Beyond the day-to-day financial transactions, other documents provide crucial context for your company's financial position.

• Investment statements: If your company holds investments, provide statements for these accounts. For directors, personal investment statements (e.g., for shares, funds, or property) are also important for your Self Assessment tax return, especially concerning dividend income or capital gains. The dividend allowance for 2026/27 is £500, and the Capital Gains Tax annual exempt amount is £3,000.
• Asset purchases and sales: Documentation for any significant assets bought or sold by the company, such as vehicles, machinery, or property. This includes purchase agreements, sales invoices, and valuation reports.
• Loan agreements: Copies of any loan agreements, hire purchase agreements, or other financing documents the company has entered into.
• Share capital changes: Records of any changes to the company's share capital, including new share issues or transfers.
• Company records: Your accountant may also need access to company registers, such as the register of directors, register of shareholders, and register of People with Significant Control (PSC register).
• Minutes of meetings: Records of board meetings and resolutions, especially those relating to significant financial decisions or dividend declarations.

Common mistakes

• Missing documents: Not providing all bank statements, invoices, or receipts can lead to delays and potentially inaccurate accounts.
• Mixing personal and business finances: Using personal bank accounts for business transactions makes it difficult to distinguish business income and expenses.
• Late submission: Failing to provide documents to your accountant in a timely manner can result in missed filing deadlines with Companies House and HMRC, leading to penalties.
• Unreconciled accounts: Not regularly reconciling your bank statements with your accounting records can lead to discrepancies at year-end.