Dormant Accounts with Net Assets 17 June 2020 at 10:11AM in Small Biz & Charities' MoneySaving 2 replies 76 views

jonkima

Hi. A couple of years ago, my neighbours and I set up a company to purchase the freehold to our building. As we have no transactions this year we're filing Dormant accounts. Our share capital is 3 (3 directors with a £1 share) and our net assets are £15,000 (cost of the freehold) but on the Companies House form I get the error 'Net assets' must be equal to the sum of 'Called up share capital not paid' and 'Cash at bank and in hand' as the share capital and net assets figures don't match.

Any idea how I'm able to enter the correct figures?
Last year my account filed manually for me, and was able to add the £15k as a creditor being amounts owed to directors.

Thanks.

sliphi

jonkima said:

Hi. A couple of years ago, my neighbours and I set up a company to purchase the freehold to our building. As we have no transactions this year we're filing Dormant accounts. Our share capital is 3 (3 directors with a £1 share) and our net assets are £15,000 (cost of the freehold) but on the Companies House form I get the error 'Net assets' must be equal to the sum of 'Called up share capital not paid' and 'Cash at bank and in hand' as the share capital and net assets figures don't match.

Any idea how I'm able to enter the correct figures?
Last year my account filed manually for me, and was able to add the £15k as a creditor being amounts owed to directors.

Thanks.

The template for dormant company accounts [AA02] is only suitable for those companies limited by shares which have never traded and where the only transaction entered into the accounting records of the company is the issue of subscriber shares.

Therefore, you have to prepare accounts in the usual way.

jonkima

Many thanks for clarifying Sliphi.