Accounts and filings for RMC and RTM companies
We handle the company accounts and the service charge accounts, from £395 a year.
Companies House & HMRC
Dormant or trading micro-entity statutory filings prepared accurately.
Service Charge Reports
Section 21 statements and independent accountant certificates.
Transparent Fixed Fees
Direct partner contact with clear yearly pricing and no hidden costs.
Statutory accounts vs service charge accounts
Understanding why service charge balances do not form part of your company's corporate trading accounts.
A common source of confusion for block directors and freeholders is seeing two separate sets of figures each year. Under Section 42 of the Landlord and Tenant Act 1987, all service charge contributions collected from leaseholders are held on statutory trust.
Because these funds are held in trust solely for the upkeep of the building, they do not belong to the management company. They cannot be used to settle corporate liabilities, nor can they be distributed to company shareholders. For this reason, accounting rules strictly forbid mixing service charge income with the company's own statutory filing.
Your annual service charge statement acts as an open accounting to the leaseholders showing every pound collected and spent on upkeep. Meanwhile, the statutory accounts submitted to Companies House usually show a dormant or micro-entity balance sheet, reflecting only the company's legal existence.
Company statutory accounts
These record only the corporate transactions of the freeholder or Resident Management Company (RMC). They reflect the nominal share capital, statutory filing fees, and direct corporate assets. They show the legal shell of the company itself.
Service charge accounts
Every penny paid by leaseholders toward insurance, repairs, and daily maintenance is held strictly on statutory trust. Because this money belongs to the collective tenants and not the company, it never appears on the company balance sheet.
Have questions about your block's accounts?
We prepare both statutory filings and certified service charge certificates.
What you need to file every year
Stay fully compliant with Companies House and HMRC without unexpected penalties, late filing fees, or missed deadlines.
A complete balance sheet, profit and loss account, and supporting director disclosures prepared in accordance with statutory accounting standards.
Verification of your company's registered office, directors, share capital, and persons with significant control to ensure official public records remain accurate.
Your company tax return (CT600) calculating taxable profit, allowances, and tax liability submitted alongside statutory accounts directly to HMRC.
Need assistance handling your company filings and deadlines?
View compliance servicesWhy resident management companies are rarely dormant
It is an easy assumption to make: your management company makes no commercial profit, collects only what it spends on block maintenance, and exists solely for the leaseholders. However, submitting dormant company accounts (form AA02) is often an unintended compliance error.
Service charge turnover counts
Even when an RMC operates on a break-even basis, handling service charge transactions or holding funds in trust constitutes accounting activity under company law.
Filing dormant creates legal exposure
Submitting dormant accounts (DCA) when money moves through the block can prompt Companies House compliance inquiries and block conveyancing during property sales.
Straightforward to set right
Correcting historical filings requires dormant balance reconciliation and clear section 21/42 statutory reporting. We regularise past years without fuss.
Unsure how your block was filed last year?
We review Companies House filings for RMCs and advise clearly on the correct treatment.
Corporation tax on resident companies
Reserve interest and non-service-charge income can trigger tax duties directors do not expect. We help you report them cleanly and on time.
Many resident management company (RMC) and right-to-manage (RTM) directors assume their company has no Corporation Tax exposure because service charges are held on statutory trust for leaseholders under Section 42 of the Landlord and Tenant Act 1987.
While regular service charges are outside the scope of Corporation Tax, any bank interest earned on those funds, alongside incidental income such as transfer fees or parking fees, belongs to the company as taxable profit. HMRC expects an annual company tax return (CT600) whenever such income arises.
Service charges themselves are held in trust and not subject to corporation tax, but any bank interest your reserve or client account accrues is taxable income.
Fees received for leaseholder consents, subletting licences, antenna rentals, or parking bays count as trading receipts for the management company.
Even if the liability is modest, the company must register with HMRC and submit a statutory CT600 tax return each year to remain compliant.
No surprises, just clear compliance
Abel Accountants calculates your tax liability, files the CT600 with HMRC, and aligns it with your statutory accounts.
Clear boundaries, genuine protection
Taking on a directorship for your freehold or SME should not keep you awake at night. Understand how sensible practices insulate your personal exposure.
The law evaluates decisions based on whether you acted in good faith for the company, not whether every future outcome went according to plan.
Directors are not expected to be legal or tax scholars. Taking qualified professional counsel on complex issues is itself proof of reasonable care.
A limited company remains its own distinct legal entity. Proper governance ensures routine service debts and contracts stay strictly with the firm.
Accurate minutes and transparent annual accounts show you fulfilled your oversight, keeping your record clean and uncontested.
Need assistance with compliance or service charge filings?
Abel Accountants provides chartered oversight so directors can sign off accounts with total confidence.
Clear annual fees, transparent from day one.
Pick the compliance package you need — no hidden add-ons, no surprises. All prices billed annually plus VAT.
per year + VAT
What's included
- Full statutory annual accounts preparation
- HMRC Corporation Tax return (CT600)
- Companies House confirmation statement
- Year-end tax liability calculation
- Direct chartered accountant support
per year + VAT
What's included
- Statutory accounts & Corporation Tax return
- Companies House confirmation statement
- Dedicated service charge accounts preparation
- Section 21 compliance validation
- Tenant summary & certificate pack
per year + VAT
What's included
- Dormant company balance sheet (AA02)
- Companies House confirmation statement
- HMRC dormant status verification
- Statutory registers review
- Filing deadline monitoring
Chartered standards
Filing submitted directly by chartered accountants, compliant with ICAEW benchmarks.
HMRC & Companies House
Electronic lodgement handling confirmation statements, CT600s, and annual accounts.
Need a bespoke bundle?
Multi-property portfolios or bespoke group entities can be tailored upon consultation.
All statutory submissions require verified director identification. Fees exclude VAT.
What happens when you join
Switching accountants is straightforward. We handle the clearance, import your data, and set up your compliance roadmap from day one.
Introductory call and records handover
We introduce your dedicated client partner and contact your previous accountant directly for professional clearance, past returns, and working papers.
System review and feed connection
We audit your chart of accounts, connect secure live bank feeds, and set up your cloud software without interrupting everyday operations.
Tax baseline and deadline roadmap
A chartered accountant reviews your current property and corporate tax structure, logging upcoming statutory deadlines to keep you fully compliant.
Direct ongoing partner support
No ticketing queues or anonymous call centres. You get direct mobile and email access to an institutional-grade partner who knows your portfolio.
Ready to partner with chartered accountants?
Speak with a partner today to review your accounts, landlords portfolio, or SME requirements.
Frequently asked questions
Clear answers about statutory compliance, director responsibilities, and handing over your accounting without friction.
Have a specific filing or accounting query?
Speak directly with a chartered accountant who understands landlord and RMC regulations.
Get your fixed quote
Tell us a few details about your property or business, and we will send a tailored, transparent proposal.