Dormant Company Accounts: Filing Requirements

Even if your company has not traded, you must still file annual accounts with Companies House. The good news is that dormant company accounts are simplified and can be filed for free.

Here is everything you need to know about dormant company filing requirements.

What Is a Dormant Company?

A company is dormant for Companies House purposes if it has had no significant accounting transactions during the financial year.

Significant transactions include:

  • Sales or income of any kind
  • Purchases or expenses
  • Paying salaries
  • Bank interest received
  • Any trading activity
Allowed transactions (that do not break dormancy):
  • Shares issued on incorporation
  • Filing fees paid to Companies House
  • Penalties paid to Companies House
  • Payment for shares by subscribers

Do Dormant Companies Need to File Accounts?

Yes. All limited companies registered at Companies House must file annual accounts, including dormant ones.

However, dormant companies can claim exemption from audit and file simplified accounts.

What Dormant Accounts Look Like

Dormant company accounts are minimal, typically containing only:

Balance Sheet

  • Assets: Usually just cash (often £1 or the initial share capital)
  • Liabilities: Usually zero
  • Capital and reserves: Share capital only

Notes

  • Statement that the company was dormant throughout the period
  • Confirmation that directors have taken advantage of exemptions

No Profit and Loss

Dormant companies do not need to file a profit and loss account because there is no trading activity to report.

Example Dormant Balance Sheet

£
Current Assets
Cash at bank1
Total Assets1
Capital and Reserves
Called up share capital1
Total Equity1
This is the simplest possible balance sheet for a dormant company with £1 share capital.

Dormant Company Exemptions

Dormant companies can claim exemption from:

Audit Exemption

Dormant companies do not need their accounts audited, regardless of size. This saves significant accounting costs.

Filing Exemption (Small/Micro)

If your dormant company qualifies as small or micro (which most do, having no turnover), you can file abbreviated accounts.

Dormant Subsidiary Exemption

Dormant subsidiaries of larger groups may have additional exemptions available.

Filing Deadline

Dormant companies have the same filing deadline as trading companies:

  • 9 months after your accounting reference date
Late filing penalties apply equally to dormant companies.

How to File Dormant Accounts

Option 1: TinyTax (Free)

TinyTax allows dormant companies to file accounts for free:

  1. Sign up and add your company
  2. Select dormant company option
  3. Enter your share capital amount
  4. Submit directly to Companies House

Option 2: Companies House WebFiling

Companies House provides free dormant accounts filing through their website:

  1. Log in to WebFiling
  2. Select file dormant accounts
  3. Complete the simple form
  4. Submit

Option 3: Accountant

You can use an accountant, but for truly dormant companies, this is usually unnecessary expense.

Common Mistakes

1. Thinking Dormant Means No Filing

The most common mistake is assuming dormant companies do not need to file. They do, every year.

2. Missing the Deadline

Because there is no trading activity, directors sometimes forget about filing deadlines. Set reminders.

3. Filing Wrong Accounts Type

If your company has had any transactions (even bank interest), it may not qualify as dormant and needs different accounts.

4. Not Filing CT600

Dormant companies usually need to file a CT600 with HMRC as well as Companies House accounts. These are separate filings.

When Does Dormancy End?

Your company stops being dormant when it has a significant accounting transaction. From that point:

  • Normal accounts filing requirements apply
  • You may need to register for Corporation Tax
  • CT600 returns become mandatory
If you start trading mid-year, your accounts will cover both the dormant and trading periods.

Dormant vs Non-Trading

These terms are sometimes confused:

  • Dormant - No significant accounting transactions (Companies House term)
  • Non-trading - Not actively selling goods/services but may have other transactions
A company receiving bank interest is non-trading but not dormant, because interest is a significant accounting transaction.

HMRC Dormancy

HMRC has a different definition of dormancy. A company can be:

  • Dormant for Companies House but not HMRC
  • Required to file CT600 even if dormant for Companies House
See our guide on dormant company CT600 filing for details.

Summary

Dormant companies must file annual accounts with Companies House, but these are simplified:

  • Balance sheet only
  • No profit and loss required
  • No audit needed
  • Can be filed for free
Use TinyTax to file your dormant company accounts for free, directly to Companies House.