CrossCountry Accountants : February 2026



Welcome to the February 2026 edition of our tax and accounting update. With the 31 January Self-Assessment deadline now behind us, the focus for many businesses shifts from retrospective filing to proactive planning for the new tax year.

February 2026 is a pivotal month, marking the implementation of the new Companies House fee structure and the final countdown to significant April changes. Here are the key updates you need to know.

1. Companies House: New Fees are Now Live

As of 1 February 2026, the higher fee structure at Companies House is officially in effect. These increases are designed to fund the Registrar’s expanded powers to investigate and remove inaccurate information.

Updated Filing Fees (Effective 1 February 2026):

New Company Incorporation £100 (was £50) 

Confirmation Statement (Annual) £50 (was £34) 

Voluntary Strike-off £13 (was £33) 

Note: The fee for voluntary strike-off is one of the few that has actually decreased, making it a cost-effective time to close any dormant or redundant entities.

2. HMRC Interest Rates & Late Payment Penalties

Following the Bank of England's base rate reduction to 3.75%, HMRC’s interest rates were updated in January.

  • Late Payment Interest: 7.75% (applicable to all late tax payments).
  • Repayment Interest: 2.75% (the rate HMRC pays you on overpayments).
  • 30-Day Penalty Rule: If you have an outstanding 2024/25 Self-Assessment tax bill, you must pay it (or set up a Time to Pay arrangement) by 28 February 2026 to avoid an automatic 5% late payment penalty.

3. Spring Budget 2026: 3 March Announcement

The Chancellor has confirmed the Spring Budget will take place on 3 March 2026. This is a critical date for your financial planning. We are monitoring three main areas:

  • VAT Threshold: Speculation remains high regarding a potential reduction from £90,000 to £70,000 for April 2026.
  • Business Rates: New "permanently lower" multipliers for retail, hospitality, and leisure are expected to be formalised.
  • Fuel Duty: Decisions on the long-standing fuel duty freeze will be a major focal point for transport-heavy businesses.

4. Countdown to April 2026: Action Needed

We are now only two months away from several major shifts in the UK tax landscape.

  • Dividend Tax Hike: From 6 April 2026, the Dividend Basic Rate rises to 10.75% and the Higher Rate to 35.75%. Consider voting a dividend before 5 April to lock in the lower 2025/26 rates.
  • MTD for ITSA: If your 2024/25 gross income was over £50,000, you are legally required to use compatible software for digital records starting this April.
  • Inheritance Tax (BPR/APR): The new £2.5m cap on 100% relief for business and agricultural assets begins in April. If you have significant business assets, now is the time to review your Will.
  • National Minimum Wage: New rates apply from April. Employers should budget for increased payroll costs.

5. Essential Compliance Dates: February 2026

  • 1 February: Corporation Tax payment deadline for companies with 30 April 2025 year-ends.
  • 2 February: Deadline to submit P46(Car) for the quarter ending 5 January (where benefits are not payrolled).
  • 5 February: Employment Intermediaries quarterly report deadline for the period ending 5 January.
  • 7 February: VAT return & payment deadline (quarter ending 31 December 2025).
  • 14 February: Deadline for employees to apply for National Insurance deferral (Form CA72A).
  • 19 February: CIS return deadline and deadline for postal PAYE/NIC payments.
  • 22 February: Deadline for electronic PAYE, NIC, and CIS payments.
  • 28 February: Self-Assessment Penalty Date: Pay your tax by today to avoid the 5% surcharge.
  • 28 February: Corporation Tax filing deadline (CT600) for 28 February 2025 year-ends.
  • 28 February: Companies House filing deadline for 31 May 2025 year-ends.

Visit the CrossCountry Website: www.crosscountry-accountants.co.uk


Location: United Kingdom

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