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micro entity accounts frs 105 P&L HMRC

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Can a micro entity choose not to submit P&L to HMRC (so only balance sheets and notes)? 

My understanding is that HMRC require microentity companies must still submit Statutory accounts that includes

  • a ‘balance sheet’,
  • a ‘profit and loss account’
  • notes about the accounts

but I was told by an accountant that the P&L is not requiried to send to HMRC as 'Despite what their website says HMRC are committed to accept the same set of accounts for tax returns as for companies house. In other words as you can submit FRS105 to co house you can submit FRS105 to HMRC (provided the company is small).'

Does this sounds right?

Replies (7)

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By Tim Vane
20th Aug 2019 21:35

You do submit the same accounts to HMRC and companies house but you are allowed to fillet the accounts you send to Companies House by removing the P&L and associated notes. You are not permitted to remove those pages when you submit to HMRC. So yes you need to include the P&L in the accounts submitted with the CT600.

Where did you get the idea that FRS105 accounts did not include a P&L? It is a required section.

Thanks (1)
Replying to Tim Vane:
RLI
By lionofludesch
20th Aug 2019 22:30

He says it was from "an accountant".

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By Duggimon
21st Aug 2019 09:21

What would be the point of just sending a balance sheet to HMRC? How is that going to tie up with your tax?

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By kenny achampong
21st Aug 2019 11:32

I'm guessing you misunderstood. You have to send the short P&L to HMRC, but not the detailed one. Some people choose to send it and some don't.

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Replying to kenny achampong:
By Duggimon
21st Aug 2019 11:43

You definitely have to send some sort of detailed P&L to HMRC, you don't have to put it in the accounts though.

It's part of the CT600 filing regulations that an iXBRL tagged detailed P&L account is filed along with the return.

Thanks (1)
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By n h
22nd Aug 2019 14:27

I concur with you all, HMRC have the right to ask for everything required under the companies act and this includes the P&L. the person who told me otherwise was incorrect.

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By n h
28th Aug 2019 10:36

suprising that HMRC has confirmed back below:

'Your original question: a micro entity can submit accounts with a Balance Sheet alone using FRS105 to both companies house and HMRC
Answer: Yes

There are certain condition which apply. Further information can be found following the link below.

The following page https://www.gov.uk/annual-accounts says:
If your company is small, a micro entity or dormant, you might be able to send simpler (‘abridged’) accounts.'

Any thoughs?

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