Running a company is demanding enough without tripping over filing dates or missing a relief you were entitled to claim. Yet for many owner-managed businesses, regulatory tasks still land on the owner’s desk. In this blog, we set out what must be done in the 2025/26 tax year and how getting expert help can save time, stress and money.
Why compliance matters
Falling behind on statutory obligations is expensive. Companies House collected £34.4 million in late‑filing penalties during 2023/24, more than treble the figure four years earlier, according to Financial Times. Add interest on overdue tax and potential director‑disqualification proceedings and the cost to owner-managed businesses is clear.
Small companies make up the bulk of the UK economy: the Office for National Statistics notes that 2.72 million firms were registered for VAT or PAYE in March 2024 . Staying compliant protects the reputation and future sale value of every one of them.
Corporation tax: Rates, returns and payments
Since April 2023 the main corporation tax rate has been 25 % for profits above £250,000, with a small‑profits rate of 19 % below £50,000 and marginal relief in between. These bands remain for 2025/26.
Owner-managed businesses must:
- Pay any corporation tax nine months and one day after the year end.
- File the CT600 and tagged accounts within 12 months.
- Keep digital records that support each figure.
Missing the filing date triggers an automatic £100 penalty, which escalates after three, six and twelve months. We prepare returns early so cashflow can be planned and queries settled before HMRC deadlines bite.
Companies House obligations are tightening
Under the Economic Crime and Corporate Transparency Act (ECCTA), Companies House is enhancing its verification processes and will soon require identity verification for all directors. Late filings of accounts already incur fines ranging from £150 to £1,500 for private companies.
Electronic filing is mandatory for most documents from 2026, so owner-managed businesses should ensure bookkeeping software can produce iXBRL‑compatible reports or engage an accountant that can. Our tax compliance team submits accounts and confirmation statements on clients’ behalf, giving owners back valuable hours.
Payroll, PAYE and workplace pensions
Submitting real‑time information (RTI) to HMRC on or before each payday is now routine, yet errors still appear where directors run irregular salaries or annual bonuses. The 2025/26 secondary National Insurance threshold has reduced from £9,100 to £5,000 from 6 April 2025, with a lower earnings limit of £6,500; both must be watched to avoid over‑deduction.
According to official statistics, 80 % of employees were in a workplace pension in 2023, up from 48 % in 2012 . The government has confirmed that qualifying earnings bands (£6,500-£50,270) and minimum contributions (3 % employer, 5 % employee) are unchanged for 2025/26. Legislation passed in 2023 (the Pensions [Extension of Automatic Enrolment] Act 2023) also gives ministers the power to lower the enrolment age from 22 to 18 and to remove the lower earnings limit in future, so wider reforms are likely later this decade.
We run payrolls, submit RTI files, file P11Ds, and handle pension uploads, ensuring owner-managed businesses remain compliant while staff are paid on time.
VAT registration and Making Tax Digital
The VAT registration threshold rose to £90,000 from 1 April 2024 and is frozen at that level for 2025/26. Businesses approaching the limit should monitor the rolling 12‑month turnover test; a late registration can cost back‑dated VAT and penalties.
As of April 2022, all VAT-registered businesses in the UK are required to comply with MTD for VAT, regardless of their turnover. This means nearly every VAT-registered entity must keep digital records and submit VAT returns using MTD-compatible software, unless they are exempt.
HMRC has confirmed a phased introduction of MTD IT:
- From 6 April 2026: Self-employed individuals and landlords with a total gross income over £50,000 will be required to use MTD IT.
- From 6 April 2027: The threshold lowers to include those with a total gross income over £30,000.
- From 6 April 2028: It will further extend to those with income over £20,000.
Qualifying income refers to the total gross income from self-employment and property before any deductions.
Record‑keeping: the foundation of defence
HMRC can open an enquiry up to four years (six if careless mistakes have been made) after a filing, so keeping invoices, bank statements and working papers securely stored – ideally in the cloud – is essential. Digital systems reduce risk and make year‑end work quicker.
We advise clients on integrated bookkeeping, stock control and cashflow forecasting platforms, streamlining processes while giving the owner real‑time numbers.
How we help owner-managed businesses stay compliant
Compliance is not just ticking boxes. Done properly, it supports funding applications, underpins dividend decisions and reassures stakeholders. Our owner-managed business service pairs sector insight with technology to deliver:
- Proactive deadline monitoring and reminders.
- Integrated bookkeeping, VAT and payroll processing.
- Tax planning meetings before year‑end.
- Fixed‑fee packages so costs are predictable.
Final thoughts
Compliance should never be an afterthought. Meeting filing deadlines on time, keeping precise digital records and understanding how each rule interacts with the next allow owners to make confident decisions – whether that is paying dividends, seeking investment or planning an exit. A well‑run compliance timetable also strengthens relationships with lenders and suppliers who increasingly ask for real‑time financial information before extending credit.
We see the difference every day. Owner-managed businesses that commit to disciplined reporting spend less time firefighting and more time developing new markets, securing skilled staff and maintaining healthy cashflow. They avoid unnecessary penalties, reduce the likelihood of HMRC enquiries and free up headspace for strategic planning. With accurate numbers at their fingertips, they can quickly model “what‑if” scenarios and seize opportunities while competitors wait for last quarter’s figures.
Our team combines specialist tax knowledge with cloud technology, giving owners a single source of financial truth and a clear view of every filing date. We tailor our service around existing processes, then automate the repetitive tasks that drain internal resource. The result is compliance handled quietly in the background and management information that supports growth.
Ready to put compliance on autopilot for your owner managed business? Contact us today to arrange an initial conversation.