A Practical Upgrade for UK Micro-Entities Working on CT600 and Final Accounts Filing in Zoho Books

While most businesses find tax compliance challenging, it’s necessary to adhere to the legal obligations. For most limited companies in the UK, tax compliance often remains in the background until the deadlines approach quickly. Over the years, however, changes from HMRC have made one thing clear. Accounting software can no longer just track numbers. It needs to actively support compliance.

That is exactly where the latest update to Zoho Books fits in. With the launch of CT600 and Final Accounts filing for UK micro-entity limited companies, the platform now covers one of the most important gaps in the year-end process.

This new release comes in addition to updates made earlier, like Making Tax Digital for VAT, CIS, and Income Tax. All these features are transforming Zoho Books into a more comprehensive accounting system to strengthen businesses throughout the year.

Final Accounts without the usual challenges

Final Accounts, also known as year-end accounts, give a clear picture of how a company has performed financially. These are prepared under FRS 105 for micro-entities. This reporting standard is simplified and designed specifically for smaller businesses.

A company can qualify as a micro-entity if it fulfills any of these two conditions:

It has a turnover of £1 million or less and a balance sheet total of £500,000 or less
Having 10 or fewer employees

Zoho Books helps prepare and file these accounts directly. As a result, organizations can map their ledgers to the appropriate reporting sections. They can also generate statutory micro-entity reports and submit them to the Companies House. There’s no need to export files or switch platforms. They can also send the same report to the HMRC along with the Corporation Tax return. This organized approach keeps everything consistent.

Approval workflows and iXBRL exports are included. This ensures that both internal teams and external accountants have the opportunity to review filings before they are submitted.

CT600 filing made simple

Every limited company in the UK needs to file Corporation Tax, whether or not it made a profit. UK-resident companies need to pay tax on worldwide profits. On the other hand, non-resident companies pay tax on profits that are generated through operations in the UK.

With this update, eligible micro-entities will be able to prepare their CT600 returns and file them directly from Zoho Books. Taxable profit calculations, adjustments, and iXBRL tagging are handled within the system. The CT600 main form and CT600A (Loans to Participators) are currently supported, along with approval flows and direct submission to HMRC.

This eliminates the need for spreadsheets for many businesses. There’s no need for manual tagging or last-minute corrections during tax season.

Preparing for What Comes Next

HMRC has confirmed that its online filing service for Final Accounts and Corporation Tax will close on 31 March 2026. From April 2026, businesses will need CT-ready accounting software to stay compliant. This update ensures micro-entities are already working within that requirement, and not rushing to change systems later.

It is also a practical advantage for growing teams, particularly Zoho Books for finance teams handling daily settlements, where clean, accurate data throughout the year directly impacts the quality of year-end reporting.

Why Choose Xponential Digital?

The real value of this release is about reducing handovers, avoiding duplicate work, and keeping accounting and compliance properly synced. When implemented thoughtfully, with guidance from partners like Xponential Digital, businesses can align these tools with their real-world workflows instead of forcing processes to fit the software. Rather than offering one-size-fits-all implementations, the focus remains on understanding how your finance, operations, and leadership teams actually work on a daily basis. The experts configure Zoho Books to match UK compliance requirements and streamlines reporting and approval flows. In the process, Xponential Digital makes compliance feel predictable, manageable, and stress-free.

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