Company records are described as any statutory records that companies must keep as required by the Companies Act 2006. These records include but are not limited to the following: register, agreement, accounting records, minutes, memorandum.
Proper record-keeping is vital for companies as it ensures that the company is compliant. You need good records to prepare accurate financial statements, such as Account records, Tax records, Insurance records, and Personnel Records.
Keeping records is vital for your business. That can help you manage and monitor the growth of your business. It helps companies keep track of their expenses, debts, details of inventory bought and sold. Excellent record keeping can increase your business success.
It is best to store accounting records in a registered office. These documents include paid invoices, credit card receipts, receipts for cash transactions, bank statements, checks, and more.
Your records need to show you’ve reported correctly, and you need to hold them for three years from the end of the tax year they relate to. That is is because HMRC may inspect your records to make sure you’re paying the right amount of tax.
There are no laws on how you must keep records. You can keep them on a document, digitally or as part of a software program. HMRC can charge you a fine if your records are not correct, complete, or readable.
When it comes to tax-related paperwork like payslips, P45, HMRC recommends holding them for at least 22 months from the end of the tax year they relate to.
Hold copies of receipts for example: life insurance statements, credit card statements, bank and investment statements. Keep these for up to 3 years. Records of assets need to be kept until the assets are sold.
If you would like more information, please contact our customer engagement team who would be delighted to assist you further.
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