How it works it out

  • Companies House: a company is dormant if it had no significant accounting transaction in the year2: none of the sums of money it must record as received or spent3. The only ones ignored are the subscribers’ payment for their shares at formation, fees for changing name, re-registering or the confirmation statement, and late filing penalties2.
  • HMRC: a company is dormant for Corporation Tax if it is not trading and has no other income. HMRC counts buying, selling, renting property, advertising, employing someone and getting interest as trading1.
  • What it still files: accounts every year (dormant accounts, if it is small and dormant for Companies House), a confirmation statement at least once every 12 months4, and a Company Tax Return only if HMRC asks for one1.