What Happens If I File My Company Accounts Late

At Towerstone Accountants we provide specialist limited company accountancy services for directors and owner managed businesses across the UK. We wrote this guide for people running a company who want clear answers on tax, payroll, Companies House filing duties, and day to day compliance without jargon. Our aim is to help you understand your responsibilities, reduce the risk of penalties, and know when to get professional support.

Late filing of company accounts is far more common than most directors like to admit. In my work I regularly speak to business owners who missed a deadline because they were busy, waiting on information, unsure what was required, or simply did not realise how strict the rules are. The issue is that Companies House and HMRC treat late filing very differently to other admin errors, and the consequences can escalate quickly if it is not dealt with properly.

In this article I will explain exactly what happens if you file your company accounts late, the penalties you can expect, how this affects both Companies House and HMRC, and what it can mean for your business reputation, credit profile, and personal stress levels. I will also cover what to do if you know you are going to be late, how to reduce the damage, and how to stop it happening again.

Why filing deadlines matter so much

Company accounts are not just a formality. They are a legal requirement and a key part of the UK compliance system. Both Companies House and HMRC rely on them to ensure transparency, calculate tax correctly, and monitor business activity.

When you form a limited company you agree to:

• Prepare annual statutory accounts

• File those accounts with Companies House

• Submit a Corporation Tax return to HMRC

• Do all of this by the relevant deadlines

Missing those deadlines is treated as a failure of compliance, not just an administrative delay.

The two separate deadlines directors must understand

One of the biggest sources of confusion is that there are two different bodies involved, each with their own deadlines.

Companies House deadline

Your company accounts must be filed with Companies House:

• 9 months after the end of your accounting period

• 21 months after incorporation for your first year

These accounts are made public and form part of your company record.

HMRC deadline

Your Corporation Tax return must be submitted to HMRC:

• 12 months after the end of the accounting period

However, the Corporation Tax itself must usually be paid:

• 9 months and 1 day after the end of the accounting period

This means you can be late filing with HMRC but still have paid the tax on time, or vice versa.

What happens if you file company accounts late with Companies House

Companies House penalties are automatic and based purely on how late the accounts are. There is no discretion and no negotiation.

Companies House late filing penalties

The penalties currently work as follows:

• Up to 1 month late, £150

• 1 to 3 months late, £375

• 3 to 6 months late, £750

• More than 6 months late, £1,500

For private limited companies these penalties double if accounts are filed late two years in a row.

This is one of the most painful surprises for directors. A single late filing can quickly turn into a four figure fine.

What happens if you file company accounts late with HMRC

HMRC deal with late filing very differently to Companies House.

Late Corporation Tax return penalties

If you miss the deadline for submitting your Corporation Tax return, HMRC can charge:

• £100 penalty if up to 3 months late

• Another £100 penalty if over 3 months late

• Estimated tax assessments if delays continue

• Penalties based on unpaid tax

Unlike Companies House, HMRC penalties can escalate based on behaviour and history, not just timing.

Interest and surcharges on late Corporation Tax

If Corporation Tax is paid late, HMRC will charge interest from the day after it was due until payment is made.

If delays continue HMRC may also:

• Issue demands based on estimates

• Restrict future repayment claims

• Increase scrutiny of the company

Interest may feel small initially but it adds up over time, particularly for larger tax liabilities.

What happens if you are late more than once

Late filing becomes much more serious when it happens repeatedly.

For Companies House:

• Penalties double for repeat offences

• The company is flagged as persistently late

For HMRC:

• Penalties increase

• Compliance checks become more likely

• Trust in the company deteriorates

This is when directors often start receiving letters that feel more aggressive, and stress levels rise sharply.

Can Companies House strike off my company

Yes, persistent failure to file accounts can lead to strike off action.

If accounts are overdue and ignored:

• Companies House may issue warning notices

• The company can be struck off the register

• The company legally ceases to exist

Once struck off:

• Bank accounts may be frozen

• Assets pass to the Crown

• Contracts and liabilities do not disappear

This is an extreme outcome but it does happen, particularly where directors disengage.

How late filing affects your business reputation

This is an area many directors underestimate.

Late filed accounts are visible on the public register. Anyone can see:

• Filing dates

• Late filing flags

• Historical compliance

This can affect:

• Credit scores

• Supplier confidence

• Loan and finance applications

• Investor perception

Lenders and credit agencies regularly review Companies House records. Late filing can quietly undermine future opportunities.

Personal responsibility of directors

A key point that often surprises people is that responsibility does not sit with your accountant, bookkeeper, or software provider.

The legal responsibility rests with the directors.

Even if:

• Your accountant was waiting for information

• You assumed someone else was handling it

• There were internal delays

Companies House and HMRC will still hold the director accountable.

What if there is a genuine reason for filing late

There are limited circumstances where penalties may be appealed.

Valid reasons may include:

• Serious illness

• Bereavement

• Fire or flood destroying records

• HMRC or Companies House system failure

What is not usually accepted includes:

• Being busy

• Cash flow issues

• Waiting for information

• Not understanding the rules

Appeals must be made promptly and supported with evidence.

What to do if you know you are going to be late

If you suspect accounts will not be ready on time, doing nothing is the worst option.

Steps I recommend include:

• Contact your accountant immediately

• Prioritise outstanding information

• File as soon as possible even if imperfect

• Budget for penalties

Filing late is always better than not filing at all.

Can you file provisional or estimated accounts

For Companies House, accounts must meet statutory standards. Provisional accounts are not normally acceptable.

For HMRC, estimates may be used in limited circumstances but must be corrected later.

This is another reason early action matters, as last minute fixes are rarely clean.

Common reasons companies file accounts late

In practice I see the same causes repeatedly.

Poor record keeping

Missing invoices, unreconciled bank accounts, and unclear expense claims all slow down year end work.

Late engagement with accountants

Contacting your accountant close to the deadline leaves no room for queries or corrections.

Cash flow stress

Some directors delay accounts because they fear a tax bill. This nearly always makes the situation worse.

Growing complexity

As companies grow, accounting becomes more complex, and processes that worked in year one no longer scale.

How to recover after late filing

If you have already filed late, the focus should be on stabilising compliance.

That usually means:

• Clearing all overdue filings

• Paying penalties promptly

• Resetting deadlines in a diary or system

• Reviewing internal processes

Late filing does not define a business, but repeated late filing does.

Preventing late filing in the future

This is where good systems make a real difference.

Practical steps include:

• Keeping records up to date throughout the year

• Using cloud accounting software

• Setting reminders well ahead of deadlines

• Holding regular check ins with your accountant

In my experience businesses that treat compliance as an ongoing process rarely miss deadlines.

How I approach late filing issues with clients

When a client comes to me after filing late, I focus on two things.

First, damage control. That means understanding penalties, stopping escalation, and getting everything filed.

Second, prevention. I look at why it happened and what needs to change so it does not happen again.

Late filing is usually a symptom of deeper issues such as workload, systems, or communication, not laziness.

Final thoughts

Filing your company accounts late can feel embarrassing and stressful, but it is not the end of the world if dealt with properly and quickly. The real risk comes from ignoring the problem or assuming it will somehow resolve itself.

Companies House penalties are automatic and unforgiving, HMRC penalties can escalate based on behaviour, and reputational damage can quietly build in the background. That is why I always encourage directors to understand their deadlines clearly and treat them as fixed points in the business calendar.

If you are unsure where you stand or fear you may be late, get advice sooner rather than later. In almost every case early action reduces cost, stress, and long term impact.

You may also find our guidance on What happens if I forget to file my Confirmation Statement and What are the penalties for late Corporation Tax payment helpful when exploring related limited company questions. For a broader overview of running and managing a company, you can visit our limited company hub.