Company year-end preparation for UK business owners

Preparing for your company year-end isn’t just about closing the books. It also sets the clock ticking on your post year-end obligations. In the UK, your Corporation Tax return must be filed within 12 months of the end of the accounting period, but the filing deadline for accounts is 9 months after your company’s year-end, and Corporation Tax is due 9 months and 1 day after. ​

Getting organised early reduces pressure, avoids penalties, and gives you more control over cash flow decisions before deadlines hit. To help you prepare, we've put together a checklist of key areas that are worth reviewing before your financial year closes.​

As you approach year-end, your bookkeeping should be fully up to date. Check that all sales invoices for the year have been raised and all expenses have been accurately recorded.​

This means reconciling bank accounts, ensuring receipts are uploaded or attached, and checking that transactions are categorised correctly. Incomplete records can destroy your profit figure and create delays when accounts are being prepared.​

Before the year ends, review outstanding customer invoices and confirm which amounts are still expected to be paid. ​

If a debt seems genuinely irrecoverable, it may need to be written off. Writing off bad debts at the correct time ensures you are not paying tax on income you are unlikely to receive.​

Prior to year-end, it's also important to check that all liabilities for the financial year are recorded and up-to-date (even invoices that have not yet been paid).​

Accurately recording all your creditors ensures that expenses fall into the correct financial period and can have a direct impact on your taxable profit.​

Your fixed asset register should reflect what the business actually owns and uses. Review assets such as equipment, vehicles, and electronic devices, paying attention to items that may have been upgraded, sold, or disposed of. ​

If assets are no longer in use or have been sold, this needs to be recorded so depreciation and capital allowances are handled correctly. Asset reviews are a common area where errors creep in if preparation is skipped. ​

If your business holds stock, a stocktake at or close to year-end is vital. Stock values directly affect your reported profit, so accuracy matters. ​

Obsolete, damaged, or unsaleable stock should be identified and recorded appropriately rather than carried forward at full value. ​

If vehicles are used for business, logbooks should be checked before year-end. A valid logbook records business and private mileage over a qualifying period and supports business use claims. ​

Without an up-to-date logbook, claims can be restricted, which can make a noticeable difference to year-end outcomes. Ensuring records are current before the year closes avoids issues later. ​

If your business is VAT-registered, all VAT returns covering the financial year should be submitted and aligned with your bookkeeping.​

Unfiled returns, inconsistencies, or missing documentation can delay accounts preparation and trigger follow-up work.​

Payroll records should be reviewed ahead of year-end. This includes checking that payroll reports are complete, submissions have been made on time, and employee records are accurate. You should also ensure that all payroll journals have been posted for the year. ​

If your business operates under the Construction Industry Scheme, CIS records and submissions should also be up to date. CIS compliance issues are far easier to address before year-end than after. ​

Some costs relate to the year just ended but have not yet been paid, while others may have been paid in advance. These need to be identified so accruals and prepayments can be applied correctly. ​

Preparing this information helps ensure your accounts reflect the true financial position at year-end. ​

While most of the information required for year-end should be in your accounting software, there might be other documents that your accountant will need to prepare the company accounts, such as loan agreements or copies of receipts for large asset purchases. ​

Being organised and keeping these sorts of documents stored in an easily accessible location is always useful to avoid any scramble later on.​

Year-end preparation is also an opportunity to check that your business is making full use of available allowances and deductions. ​

Consulting with a tax professional before accounts are finalised can help identify tax reliefs or claims that might otherwise be missed. Addressing these points early is far easier than trying to revisit them months down the track or after filings have been submitted.​

Preparing to close off the financial year is also a chance to step back and assess how the business has performed. Reviewing income, costs, and cash flow patterns can highlight trends that are easy to overlook during the year. ​

Many business owners use this point to produce a high level budget or forecast for the next financial year. Even a simple one can help guide decisions as the new year begins. ​

Getting ready for year-end does not have to be stressful. Beany works with UK businesses to prepare accounts, handle filings, and keep everything compliant with HMRC and Companies House. If you want an accountant who supports your business, get in touch or book a call with us today. ​