Last updated: 18 October 2026
Running a limited company in the UK: your 2026/27 checklist
A limited company is a separate legal entity, so it has its own legal and tax duties, apart from yours as director. This checklist, which goes with our guide above, sets out what you must do and when.
Setting up
- Incorporate at Companies House. The online fee is £100 from 1 February 2026. You need a registered office address, at least one director, a shareholder, and an SIC code describing the business.
- Verify identities. Directors and people with significant control must verify their identity with Companies House.
- Register for Corporation Tax within 3 months of starting to trade.
- Open a business bank account and keep company and personal money separate.
- Register for PAYE before the first payday if the company will pay any salary, including to you.
- Register for VAT if taxable turnover goes over £90,000 in any rolling 12 months, or earlier by choice.
Our company formation packages handle the setup for you, including a London registered office address.
Yearly filings
- Annual accounts to Companies House: 9 months after the year end (21 months after incorporation for the first accounts).
- Corporation Tax payment: 9 months and 1 day after the year end, for most small companies.
- CT600 Corporation Tax return: 12 months after the year end.
- Confirmation statement: at least once every 12 months (£50 online).
- Directors' Self Assessment returns, if you take dividends or have other untaxed income. Due by 31 January.
Tax rates for limited companies in 2026/27
Corporation Tax is 19% on profits up to £50,000 and 25% on profits over £250,000, with marginal relief in between. Employer National Insurance is 15% on salaries above £5,000 a year. The Employment Allowance of up to £10,500 can reduce this, but not for companies whose only employee is a director. Dividends above the £500 allowance are taxed at 10.75% (basic rate), 35.75% (higher rate) and 39.35% (additional rate).
Paying yourself
Most owner-directors take a small salary plus dividends. Dividends can only be paid from profits after Corporation Tax. Money taken without a salary or dividend goes on your director's loan account. If over £10,000 is outstanding, that can lead to benefit-in-kind charges. If the loan isn't repaid within 9 months of the year end, the company pays a 35.75% section 455 charge. Use our salary and dividend calculator to compare options.
Limited company FAQs
Is a limited company better than being a sole trader?
It can save tax once profits pass roughly £50,000, and it limits your personal liability, but it means more admin. Read requirements for a UK limited company.
What happens if I file late?
Companies House charges automatic penalties from £150, and HMRC charges £100 for a late CT600, rising over time.
Want this handled for you? Our limited company accountants take care of accounts, Corporation Tax, payroll and directors' returns for a fixed monthly fee. Get a quick quote or call 0800 644 1258.