Phoenix practical method: each section separates the key action, the evidence to retain and the point at which it is sensible to obtain support. This is general information, not tailored legal, tax or accounting advice.
SECTION 01
What this corporation tax guide helps you manage
- Dormant company status can have different implications for Companies House and HMRC. A company that is not actively trading should still confirm what filings, notifications and records are required for its actual circumstances.
- Use this guide as a practical compliance framework, not as a substitute for checking the latest official rules or obtaining advice on a specific calculation, deadline or transaction.
SECTION 02
A practical step-by-step approach
- Review the company’s bank activity, income, costs, assets and contracts to establish whether it has been genuinely inactive for the period.
- Check both Companies House and HMRC obligations rather than assuming one dormant status automatically applies to every compliance requirement.
- Document any notification, filing or restart decision and put the next review date into the company calendar.
KEY CHECKS
- Review the company’s bank activity, income, costs, assets and contracts to establish whether it has been genuinely inactive for the period
- Check both Companies House and HMRC obligations rather than assuming one dormant status automatically applies to every compliance requirement
- Document any notification, filing or restart decision and put the next review date into the company calendar
SECTION 03
Records and evidence to keep organised
- Keep bank statements, accounts, correspondence and evidence that supports the company’s dormant or trading status.
- Retain filed dormant accounts, confirmation statement receipts and any HMRC confirmation or return evidence.
- Store records of any restart activity, including new contracts, invoices, asset purchases, payroll or VAT registration changes.
SECTION 04
Common risks, delays and when to ask for help
- Avoid describing a company as dormant merely because sales are low or no salary has been paid.
- Do not overlook bank charges, interest, asset activity or other transactions that may affect the status review.
- Get advice before restarting trade, changing the accounting reference date or responding to an HMRC query about inactivity.
SECTION 05
Turn the process into a repeatable routine
- Put the key filing, payment and review dates in a shared compliance calendar, with an earlier internal preparation date. Keep the final submission, payment and approval evidence in the same controlled folder.
- Review the routine after each reporting period. A small improvement to record capture, reconciliation or adviser communication can prevent the next deadline from becoming a last-minute reconstruction exercise.
OFFICIAL FURTHER READING
References and current guidance
RELEVANT PHOENIX TAX SERVICE