The UK tax authorities introduced new regulations on 30th June 2016 which introduced a new piece of paperwork for all businesses registered at Companies House to file. The new annual confirmation statement has replaced the annual return (Companies House form AR01) but does all the same things – just in a simpler way.
The requirement to file one falls on all private limited companies and limited liability partnerships (LLPs) to provide one of these at least once every 12 months. That’s even if the business is not currently trading.
The reason for it is to ensure that everything on the records at Companies House is up to date. That doesn’t mean the confirmation statement is a way to report changes, they must be done before the statement is filed. It could also be sent at the same time – it’s just important to know there’s a separate process.
The new system is simpler than the old method of annual return, as you don’t need to submit new info if nothing has changed since the last one. If there are no changes and you’re happy that the information is accurate, then just ‘check and confirm’ the information held on public record.
Register of People with Significant Control
The new statement also wants to know more about a company’s management team. The submitter of the document (if the company was registered before June 30th, 2016) will need to provide details of what are called “People with Significant Control (PSCs)” when they submit their first statement. If they were registered after the 2016 date, then their incorporation application form will be expected to have details of these persons. This is a detail that will need careful monitoring in future submissions – it must be kept up to date.
The details here are their name, month and year of birth; nationality; country of residence; service and residential addresses, and the date they took a position of significant control with the company. You should explain their standing in the company and how this means they need to be included.
What to include in a confirmation statement
The data on the confirmation sheet is really very simple. It includes things like the company name and registration number, its registered office address and its single alternative inspection location (SAIL address).
There are also details of logistics and record-keeping to consider. A statement needs the location of the company’s statutory registers (i.e. registered office or SAIL address) and information about each director. The sorts of details for these people are their full name, and former names they may have used for business purposes within the past 20 years; where they live; their date of birth; nationality, and occupation.
The particulars of the company secretary are also recorded. That’s their name, former names and service address. When it comes to the business, you need to explain the principal business activities (Standard Industrial Classification (SIC) codes), the name of each shareholder – and how many they have of which types.
You can search all the possible SIC codes available here to find out which one(s) apply to your particular business type.
For all shares overall, you need to explain the aggregate nominal value of those shares and an aggregate amount (if any) unpaid on those shares. You’ll also be asked about the rights attached to those shares, and again, how many there are and their class.
Confirmation statement filing deadline
These statements are for submission at least once a year. Their anniversary, and so deadline, is the confirmation date from the date of your company’s formation. It was called the made-up date on the old returns. This is your annual submission deadline. This rule will be the same every year and you have a maximum of 14 days from then to submit your information.
How do I file?
The paperwork needs to be submitted to Companies House – typically via your accountant. That could be either by post, online via WebFiling or online via a software filing. The paper form costs £40 to file; the online version, £13.
Visit industry-leading insurer, Qdos, for an online quote. IR35 cover also available.
Premiums paid by your limited company, resulting in a large tax saving. Read more.