Filing Accounts for Flat Management and Freehold Companies
If you own the freehold of a building — or run a flat management company that collects service charges and pays maintenance costs — Clear Books Tax can file your annual accounts with Companies House and your CT600 with HMRC.
Is Your Company Dormant?
Freehold and flat management companies are almost always not dormant, even if they make no profit and pay no tax. A company is dormant only if it has no accounting transactions at all during the year.
If your company:
- Collects service charges or maintenance contributions from leaseholders
- Pays for building insurance, repairs, or maintenance
- Holds a bank account used for company purposes
How to File With Clear Books Tax
Company Type to Select
When starting your filing, select Trading Company as the company type.
Company
What type of company is this?
Select the company type that matches your situation. This affects which fields appear.
Freehold and management companies are not "property companies" in the tax sense (which is for companies receiving rental income). Your income is service charges — contributions from shareholders or leaseholders — which is treated as trading income.
Profit & Loss
Enter your figures in the P&L section:
| Field | What to enter |
|---|---|
| Turnover | Total service charge income received from leaseholders/shareholders |
| Other charges | All maintenance, insurance, repairs, and admin costs |
| Staff costs | If you employ a site manager or caretaker |
Balance Sheet
Enter your assets and liabilities at the period end:
- Current Assets — The company's bank balance at year end
- Creditors (within 1 year) — Any unpaid invoices or accruals
- Share Capital — Typically £1 or £4 (one share per flat)
- Retained Earnings — Accumulated surplus/deficit (usually near £0)
Do You Need to File a CT600?
A CT600 (corporation tax return) is required if HMRC has sent your company a Notice to Deliver (form CT603). If you've never received one, you may not need to file a CT600 — only Companies House accounts.
If HMRC has issued you a notice, Clear Books Tax will file the CT600 for you. With nil profit, the return simply confirms £0 tax is due.
What You'll Need
To file with Clear Books Tax, have ready:
- Company number — to add your company to Clear Books Tax
- Service charge income total — for the year
- Total expenses — maintenance, insurance, repairs, etc.
- Bank balance at year end
- Companies House authentication code — 6-character code to submit accounts (request one at gov.uk if you don't have it)
- Company UTR and HMRC Gateway credentials — only needed if also filing a CT600
Common Questions
Can I file without an accountant?
Yes. Flat management companies typically have simple accounts — income in, expenses out, nil profit. Clear Books Tax guides you through the form step by step.
What accounts format does Clear Books Tax produce?
Clear Books Tax generates micro-entity iXBRL accounts — the standard electronic format required by Companies House. These are filed directly; there's no need to post anything.
What if my shareholders are also my leaseholders?
This is the typical structure for freehold companies — shareholders hold the freehold through shares, one per flat. You'd file as normal; the shareholder/leaseholder relationship doesn't affect the filing itself.
Do I need to file for every year?
Yes. Companies House requires accounts every year. If you have unfiled years, Clear Books Tax will show them on your dashboard once you add your company.
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