Books and records

Whilst the format of the accounting records is not prescribed, they must meet certain criteria in order to comply with the Companies Acts. In general the records must be retained for six complete years, though certain documents must be retained indefinitely.

The minimum records a company should maintain are:

• A record of sales showing the date of the invoice, an invoice number, the customer’s name, the net amount, the VAT amount and the gross amount. If possible, the record should also state when each invoice was paid and there should be space for any comments in case an invoice is not paid in full.;
• A file of sales invoices, in numerical order. Sales invoices must bear at least the business name, its address and, if relevant, the VAT registration number;
• A “cash book” in which would be recorded amounts paid in to the business bank account and amounts paid out. The amounts paid out should include any direct debits and standing orders going through the bank account as well as cheques. Each payment should record the date paid, the cheque number (if applicable), a cross-reference to the supporting invoice, the gross amount paid, the input VAT, the net amount paid, and should analyse the net amount paid according to the nature of the expense. We can advise on the analysis required, which will vary according to your business;
• A record of petty cash amounts paid out, if any;
• Wages records;
• Copy VAT returns and the supporting workings;
• Files of purchase invoices;
• Details of accounts receivable and payable;
• If relevant, stock records.

If you prefer to maintain your accounting records on computer we can advise on the purchase and setting up of a suitable program.

Alternatively, you can use our on-line program (which will be available soon) or our outsourcing service.