Why it matters
A micro-entity can prepare simpler accounts that meet the statutory minimum, and send only a simpler balance sheet to Companies House. It doesn’t need a directors’ report, and it gets the same exemptions as small companies, such as not needing an audit. It still sends full statutory accounts to its members and to HMRC with its Company Tax Return1.
That changes from April 2028: micro-entities and small companies will have to file a profit and loss account with Companies House too, with an option not to publish it, and every company will file accounts through software2. See HMRC’s free filing service has closed for filing today, or file your accounts and tax return.