Companies House Accounts Rejected: Why It Happens and What to Do Next
Few things cause more frustration for directors than receiving a notification that their Companies House accounts have been rejected.
You thought filing was complete. The deadline is approaching. Then an email arrives stating that your accounts have not been accepted.
At that point, two questions immediately arise:
-
Why were the accounts rejected?
-
Will I now face a late filing penalty?
This guide explains:
- The most common reasons Companies House rejects accounts
- Whether penalties still apply
- What to do immediately
- How to prevent rejection in future
If your accounts have been rejected, time is critical.
Does a Rejected Filing Count as Submitted?
No.
If Companies House rejects your accounts, they are treated as not filed.
The filing deadline still applies.
If the rejection is not corrected before the statutory deadline, late filing penalties may be issued automatically.
This is why quick action matters.
The Most Common Reasons Companies House Rejects Accounts
In most cases, rejection is due to technical or formatting errors rather than complex accounting mistakes.
Below are the most frequent causes.
1. Incorrect Company Information
Companies House checks that:
- The company name matches exactly
- The company number is correct
- The accounting period dates align with records
Even small discrepancies can trigger rejection.
For example:
- Using a shortened company name
- Incorrect year-end date
- Filing accounts for the wrong accounting period
The Companies House system is strict.
2. Accounts Cover the Wrong Period
Your accounts must match your registered accounting reference period.
Rejections often occur because:
- The period is longer or shorter than allowed
- The year-end has changed without proper notification
- Dates overlap with a previous filing
If your accounting period has been extended or shortened, it must comply with Companies House rules.
3. Missing Required Statements
Depending on company size, specific statements must be included.
Common omissions include:
- Directors’ approval statement
- Balance sheet signature
- Micro-entity statement
- Small company exemption statement
- Audit exemption statement
Even if the financial figures are correct, missing wording can cause rejection.
4. Balance Sheet Does Not Balance
This sounds obvious, but it happens.
If:
- Assets do not equal liabilities plus equity
- Totals are inconsistent
- Rounding errors create mismatches
Companies House will reject the filing.
Electronic filing systems often flag this before submission, but not always.
5. Incorrect Filing Format
Accounts must be filed in an accepted format.
Rejections may occur due to:
- Incorrect iXBRL tagging (if software generated)
- Corrupt PDF files
- Scanned documents not meeting formatting requirements
- Incorrect use of templates
Companies House requires accounts to meet specific presentation standards.
6. Duplicate Filings
If accounts for that period have already been accepted, a second submission may be rejected.
This can happen if:
- An amended version is filed incorrectly
- The original filing is assumed to have failed
Amended accounts follow a separate procedure.
7. Dormant vs Active Confusion
If your company is dormant, simplified dormant accounts must be filed.
If you submit:
- Full trading accounts for a dormant company
- Dormant accounts when transactions occurred
Companies House may reject the filing.
Dormant status must reflect reality.
8. Accounts Not Properly Signed
For paper filings especially, rejection can occur if:
- The balance sheet is unsigned
- The director’s name is missing
- Approval date is absent
Digital filings still require approval confirmation.
What Happens After Accounts Are Rejected?
When accounts are rejected:
- You receive notification explaining the issue
- The accounts are not registered
- The filing deadline remains unchanged
If the deadline passes before corrected accounts are accepted, late filing penalties apply automatically.
Will You Still Get a Late Filing Penalty?
Possibly.
Companies House calculates lateness based on when acceptable accounts are received — not when incorrect accounts were submitted.
For example:
- Deadline: 31 December
- Incorrect accounts filed: 28 December
- Rejected: 30 December
- Corrected accounts accepted: 3 January
Penalty may apply because acceptable accounts were filed after 31 December.
There is no automatic grace period.
Can You Appeal a Late Filing Penalty?
Yes — but only in limited circumstances.
Companies House may consider an appeal if:
- There was a serious, unforeseeable event
- The delay was outside the director’s control
Examples might include:
- Fire
- Severe illness
- System-wide Companies House failure
However:
- “My accountant made a mistake”
- “I was busy”
- “I did not realise”
are generally not accepted as valid grounds.
Appeals must be supported with evidence.
What Should You Do Immediately After Rejection?
If you receive a rejection notice:
-
Read the rejection reason carefully
-
Correct the specific issue identified
-
Re-submit as soon as possible
-
Confirm acceptance
Do not assume minor errors will be overlooked.
Time is critical, especially if you are close to the filing deadline.
What If the Rejection Reason Is Unclear?
Sometimes the explanation provided is brief or technical.
In that case:
- Review the filing against Companies House guidance
- Check statutory wording requirements
- Confirm the accounting period dates
- Ensure balance sheet totals match
If necessary, professional review is advisable.
Repeated rejections increase the risk of missing deadlines.
Amended Accounts: A Separate Process
If accounts have already been accepted but contain an error, you cannot simply re-file.
Amended accounts must:
- Be clearly marked as amended
- Include required amendment statements
- Follow Companies House amendment procedures
Failure to follow the correct process can result in rejection.
How to Prevent Future Rejections
Most rejections are avoidable.
Key prevention steps include:
1. File Early
Filing weeks before the deadline allows time to correct any issues.
Leaving submission until the final days increases risk.
2. Use Reliable Software
Reputable accounts production software reduces formatting and tagging errors.
Manual document preparation carries higher rejection risk.
3. Review Before Submission
Before filing, check:
- Company name and number
- Accounting period dates
- Balance sheet totals
- Required exemption statements
- Director approval wording
A final review reduces technical errors.
4. Keep Accounting Period Records Clear
If you have:
- Changed year-end
- Shortened or extended a period
Ensure this is properly recorded and reflected in filings.
5. Monitor Confirmation Statement Separately
Accounts rejection does not affect your confirmation statement deadline.
Both must be managed independently.
What Happens If You Ignore a Rejection?
If rejected accounts are not corrected:
- Late filing penalties apply
- Further enforcement action may follow
- Strike-off proceedings may begin
Ignoring correspondence from Companies House is high risk.
Strike-Off Risk
If accounts remain unfiled, Companies House may:
- Publish a Gazette notice
- Begin strike-off proceedings
If struck off:
- Company bank accounts may be frozen
- Assets may pass to the Crown
- Reinstatement can be expensive and complex
Correcting a rejection quickly avoids escalation.
Final Answer: Why Are Companies House Accounts Rejected and What Should You Do?
Companies House accounts are usually rejected due to:
- Incorrect company details
- Wrong accounting period
- Missing statutory wording
- Balance sheet errors
- Formatting issues
- Filing duplicates
- Signature omissions
A rejected filing does not stop the late filing clock.
If the corrected accounts are not accepted before the deadline, penalties apply automatically.
The correct approach is:
- Review the rejection notice carefully
- Correct the exact issue
- Re-submit promptly
- Confirm acceptance
Filing early and using structured review processes significantly reduces the risk of rejection.
If your accounts have been rejected close to a deadline, professional advice should be sought immediately to minimise penalty exposure. Merranti Accounting can help.
