This walkthrough files dormant accounts for a company that used to trade. Example Stillwater Ltd stopped trading in 2023 and did nothing at all in the year to 31 December 2024. It still has £1,250 in the bank, £100 of share capital and £1,150 of retained profit, the same as a year earlier.
If your company has never traded, the steps are the same with one extra tick box. For what counts as dormant, see Filing dormant company accounts.
Before you start
- The company’s Companies House authentication code.
- A presenter ID and password. An accountant firm’s own presenter details are used for its clients.
- The balance sheet at the year end and at the previous year end.
- The name of the director who will approve the accounts, and the date of approval.
1. Enter the balance sheet
Create the accounting period and open Trial Balance. Enter only balance sheet figures, for this year and the prior year. There is nothing to enter under Profit and Loss: if there were, the company would not be dormant.
A company that has never traded usually has just two lines: the share capital, and the same amount as unpaid share capital or cash.
2. Mark the period as dormant
There are two ways, and they do the same thing.
From the accounts. Open Accounts, choose Company Information and tick Dormant company. Tick Company has never traded as well if that is true. Untick Draft accounts when the accounts are final, then Save changes.
From the wizard. If you have already started the Companies House Wizard, its Company Details step asks “Was this company dormant for the period?”. Choose File as dormant accounts and it switches to the dormant wizard.
3. Check the accounts
Back in Accounts, open Statement of financial position. The balance sheet now carries the dormant company statement: exemption from audit under section 480 of the Companies Act 2006, in place of the usual small company wording. There is no profit and loss account.
4. Run the Dormant Accounts Wizard
Open the period Overview. In the Setup Process Checklist, under Companies House accounts, choose Run Companies House Wizard. Because the period is dormant, the three-step Dormant Accounts Wizard opens.
Company Details
Check the registered name, company number and registered office. These must match the register exactly. Sync now refreshes them from Companies House.
Confirm Dormancy
Dormant from is set to the first day of the period. Leave it there, or move it earlier to the date the company actually became dormant. Tick the confirmation that the company was dormant for the whole period. Tick the never-traded box only for a company that has not traded since it was incorporated.
The fee
When you choose Next, a company that has not yet paid for the period is taken to the payment page. The fee is marked Dormant. After paying you are returned to the wizard; step through it again to reach Submit. For a client of an accountant firm, one dormant credit is used instead and nothing is shown.
Submit
The last step lists what Companies House needs: the authentication code, the presenter details and the director’s signing date. Add anything marked Required, then continue through Verification and Review Document to Send Accounts.
The status on the period updates on its own when Companies House accepts or rejects the filing.
Two messages you might see
“Dormant accounts can only be filed if the company was dormant for the whole accounting period”
You entered a Dormant from date after the start of the period. The audit exemption for dormant companies (section 480) only applies when the company was dormant throughout, so a company that stopped trading part-way through the year files normal accounts for that year and dormant accounts from the next.
Go to Company Information, untick Dormant company, and file micro-entity or small company accounts for this period.
“This period is marked dormant but the profit and loss account has ... of income, expenses or tax”
The trial balance has something in profit and loss. It appears under Validation in Accounts.
- If it is a real transaction, such as bank interest, the company was not dormant. Untick Dormant company and file normal accounts.
- If the entries are only Companies House fees or penalties, which do not count, choose Override.
Frequently asked questions
Why does the Run Companies House Wizard button open a different wizard for my dormant company?
A period marked as dormant always opens the shorter Dormant Accounts Wizard. Untick Dormant company in Company Information to get the full wizard back.
Do I need comparatives in dormant accounts?
Yes, unless it is the company’s first period. Enter the prior year balance sheet in the trial balance; for a company that has been dormant throughout it is usually identical.
Should I tick “Company has never traded”?
Only if the company has not traded at any time since incorporation. A company that traded in an earlier year and is dormant now leaves it unticked.
The company has a bank balance. Can it still be dormant?
Yes. Holding assets does not end dormancy. Transactions do.
I paid, and the wizard went back to the first step. Is that right?
Yes. Go through Company Details and Confirm Dormancy again; this time Next goes straight to Submit.