Filing your annual company return is a legal requirement for businesses, but it often causes confusion among company directors and business owners. Missing deadlines or submitting incorrect information can lead to costly penalties and even put your business reputation at risk.
What Is an Annual Company Return?
An annual company return is a mandatory filing that provides official details about your business to the relevant government authority (such as Companies House in the UK). It ensures that public records remain up to date and accurate.
The return typically includes:
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Company name and registration number
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Registered office address
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Directors and company secretary details
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Shareholders and share capital
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Nature of business (SIC codes)
Think of it as a yearly snapshot of your company’s key details rather than a financial statement.
Why Filing an Annual Company Return Matters
Submitting your annual company return correctly is essential for several reasons:
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Legal Compliance – Failure to file on time can lead to fines or prosecution.
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Transparency – It reassures stakeholders, investors, and partners about your company’s legitimacy.
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Public Record – Your company details remain accurate on the official register.
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Avoiding Penalties – Late or incorrect submissions can cost your business money and credibility.
Who Needs to File an Annual Company Return?
Every limited company and limited liability partnership (LLP) must file an annual return. Sole traders, however, are exempt from this requirement.
If you are a company director, it’s your responsibility to ensure the return is submitted—even if you delegate the task to an accountant.
Deadlines for Annual Company Return in 2025
The annual company return must be filed once every 12 months.
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Filing period: Within 28 days of the “made-up date” (the date when the return is prepared).
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First return: Due within one year of incorporation.
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Subsequent returns: Due every 12 months thereafter.
Example: If your company was incorporated on 15th February 2024, your first annual return is due by 14th March 2025.
How to File Your Annual Company Return in 2025
Follow these steps to file your annual return correctly:
1. Gather Company Information
Before you begin, make sure you have:
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Your company registration number
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Company authentication code (for online filing)
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Details of directors, shareholders, and share capital
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Registered office address
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SIC code
2. Choose a Filing Method
You can file in two ways:
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Online filing (recommended): Faster, cheaper, and more secure.
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Paper filing: Still available but slower and more expensive.
3. Log In to Companies House (UK Example)
If filing online, log in to Companies House WebFiling service with your company number and authentication code.
4. Complete the Return Form
Fill in:
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Company details
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Directors and secretary information
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Shareholder details
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Statement of capital
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SIC codes
5. Pay the Filing Fee
As of 2025:
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Online filing fee: £13
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Paper filing fee: £40
6. Submit and Confirm
Review all information carefully before submitting. You’ll receive a confirmation email once accepted.
Common Mistakes to Avoid When Filing Your Annual Company Return
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Incorrect SIC Codes – Ensure your business activity is categorized correctly.
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Outdated Shareholder Information – Always update changes before filing.
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Late Filing – Set reminders well before the deadline.
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Wrong Registered Address – Make sure your company’s official address is correct.
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Assuming Your Accountant Will Handle It – Directors remain legally responsible.
Penalties for Late or Incorrect Filing
Failing to file your annual company return on time can result in:
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Financial penalties ranging from £150 to £1,500 depending on lateness.
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Risk of your company being struck off the register.
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Possible prosecution of directors for non-compliance.
Tips for Filing Your Annual Company Return Correctly
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File early: Don’t wait until the last day.
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Keep digital records: Store updated shareholder and director details.
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Use reminders: Calendar alerts can help you avoid missing deadlines.
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Double-check entries: A single error can cause rejection.
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Hire a professional: If unsure, consult a company formation agent or accountant.
Filing Your Annual Return as a Small Business in 2025
For small businesses, the process may seem overwhelming, but the requirements are the same. The good news is that with online filing tools, you can complete the process quickly without much hassle.
FAQ: Annual Company Return in 2025
1. Is the annual company return the same as annual accounts?
No. The annual return is a summary of company details, while annual accounts are financial statements showing income, expenses, and profits.
2. Can I file my annual return myself?
Yes. Many directors choose to file it themselves online. However, you may also appoint an accountant or agent to handle it.
3. What happens if I don’t file an annual return?
Your company may face fines, be struck off the register, and directors could face legal consequences.
4. How much does it cost to file an annual return?
As of 2025: £13 for online filing and £40 for paper filing in the UK. Fees may vary in other jurisdictions.
5. Can I change my company details during filing?
Yes. If details such as address or directors have changed, update them before or during the filing process.
6. Do dormant companies need to file an annual return?
Yes. Even if your company is dormant, you must still file an annual return to keep your registration active.
Final Thoughts
Filing your annual company return in 2025 is a straightforward but crucial task for all limited companies. By understanding the requirements, preparing the right information, and avoiding common mistakes, you can stay compliant and protect your business.