Company No: 08119496 (England and Wales)

Contents

• Company Information
• Accountants' Report
• Balance Sheet
• Notes to the Financial Statements

Directors	Mrs D M Bohnet
	Mr A J Bohnet
	Mr N R H Farmer

Registered office	Suite 101 Heath Place
	Ash Grove
	Bognor Regis
	West Sussex
	PO22 9SL
	United Kingdom

Company number

08119496 (England and Wales)

Accountant	Kreston Reeves LLP
	9 Donnington Park
	85 Birdham Road
	Chichester
	West Sussex
	PO20 7AJ

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Innovate Tax Limited for the financial year ended 31 March 2025 which comprise the Balance Sheet and the related notes 1 to 9 from the Company’s accounting records and from information and explanations you have given us.

As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at www.icaew.com/regulation.

It is your duty to ensure that Innovate Tax Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and profit of Innovate Tax Limited. You consider that Innovate Tax Limited is exempt from the statutory audit requirement for the financial year.

We have not been instructed to carry out an audit or a review of the financial statements of Innovate Tax Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.

This report is made solely to the Board of Directors of Innovate Tax Limited, as a body, in accordance with the terms of our engagement letter dated 20 January 2025. Our work has been undertaken solely to prepare for your approval the financial statements of Innovate Tax Limited and state those matters that we have agreed to state to the Board of Directors of Innovate Tax Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Innovate Tax Limited and its Board of Directors as a body for our work or for this report.

Kreston Reeves LLP

9 Donnington Park
85 Birdham Road
Chichester
West Sussex
PO20 7AJ

09 December 2025

	Note	2025		2024
		£		£
Fixed assets
Tangible assets	3	78,079		96,103
Investments	4	2,000		2,000
		80,079		98,103
Current assets
Debtors
- due within one year	5	933,243		737,730
- due after more than one year	5	202,713		51,579
Cash at bank and in hand	6	634,058		663,904
		1,770,014		1,453,213
Creditors: amounts falling due within one year	7	( 837,581)		( 727,199)
Net current assets		932,433		726,014
Total assets less current liabilities		1,012,512		824,117
Creditors: amounts falling due after more than one year	8	( 339,731)		( 157,560)
Net assets		672,781		666,557
Capital and reserves
Called-up share capital		1,000		1,000
Profit and loss account		671,781		665,557
Total shareholder's funds		672,781		666,557

For the financial year ending 31 March 2025 the Company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

• The member has not required the Company to obtain an audit of its financial statements for the financial year in accordance with section 476;
• The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements; and
• These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Statement of Income and Retained Earnings has not been delivered.

The financial statements of Innovate Tax Limited (registered number: 08119496) were approved and authorised for issue by the Board of Directors on 09 December 2025. They were signed on its behalf by:

Mr A J Bohnet Director

1. Accounting policies

The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year, unless otherwise stated.

General information and basis of accounting

Innovate Tax Limited (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the Company's registered office is Suite 101 Heath Place, Ash Grove, Bognor Regis, West Sussex, PO22 9SL, United Kingdom.

The financial statements have been prepared under the historical cost convention, modified to include certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.

The financial statements are presented in pounds sterling which is the functional currency of the Company and rounded to the nearest £.

Foreign currency

Transactions in foreign currencies are recorded at the rate of exchange at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the Balance Sheet date are reported at the rates of exchange prevailing at that date.

Exchange differences are recognised in the Statement of Income and Retained Earnings in the period in which they arise except for exchange differences arising on gains or losses on non-monetary items which are recognised in the Statement of Comprehensive Income.

Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

Turnover is recognised when the significant risks and rewards are considered to have been transferred to the customer.

Employee benefits

Defined contribution schemes
The Company operates a defined contribution scheme. The amount charged to the Statement of Income and Retained Earnings in respect of pension costs and other post-retirement benefits is the contributions payable in the financial year. Differences between contributions payable in the financial year and contributions actually paid are included as either accruals or prepayments in the Balance Sheet.

Finance costs

Finance costs are charged to the Statement of Income and Retained Earnings over the term of the debt using the effective interest method so the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

Taxation

Current tax
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Balance Sheet date.

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation, net of depreciation and any provision for impairment. Depreciation is provided on all tangible fixed assets, other than investment property and freehold land, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a straight-line or reducing balance basis over its expected useful life, as follows:

Vehicles	3 years straight line
Fixtures and fittings	3 years straight line
Computer equipment	3 years straight line
Other property, plant and equipment	3 years straight line

Residual value represents the estimated amount which would currently be obtained from disposal of an asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life.

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

Borrowing costs

Borrowing costs that are directly attributable to acquisition, construction or production of qualifying assets, are capitalised as part of the cost of those assets. Capitalisation begins when both finance costs and expenditures for the asset are being incurred and activities that are necessary to get the asset ready for use are in progress. Capitalisation ceases when substantially all the activities that are necessary to get the asset ready for use are complete.

All other borrowing costs are recognised in profit or loss in the period in which they are incurred.

Leases

The Company as lessee
Assets held under finance leases, hire purchase contracts and other similar arrangements, which confer rights and obligations similar to those attached to owned assets, are capitalised as tangible fixed assets at the fair value of the leased asset (or, if lower, the present value of the minimum lease payments as determined at the inception of the lease) and are depreciated over the shorter of the lease terms and their useful lives. The capital elements of future lease obligations are recorded as liabilities, while the interest elements are charged to the Statement of Income and Retained Earnings over the period of the leases to produce a constant periodic rate of interest on the remaining balance of the liability.

Rentals under operating leases are charged on a straight-line basis over the lease term, even if the payments are not made on such a basis. Benefits received and receivable as an incentive to sign an operating lease are similarly spread on a straight-line basis over the lease term.

Trade and other debtors

Trade and other debtors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest method less impairment losses for bad and doubtful debts, except where the effect of discounting would be immaterial. In such cases the receivables are stated at cost less impairment losses for bad and doubtful debts.

Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in creditors: amounts falling due within one year.

Trade and other creditors

Trade and other creditors are initially recognised at fair value and thereafter stated at amortised cost using the effective interest rate method, unless the effect of discounting would be immaterial, in which case they are stated at cost.

Financial instruments

Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instrument.

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after deducting all of its liabilities.

Financial assets and liabilities are only offset in the Balance Sheet when, and only when there exists a legally enforceable right to set off the recognised amounts and the Company intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Research and development

In the research phase of an internal project it is not possible to demonstrate that the project will generate future economic benefits and hence all expenditure on research shall be recognised as an
expense when it is incurred. Intangible assets are recognised from the development phase of a project if and only if certain specific criteria are met in order to demonstrate the asset will generate
probable future economic benefits and that its cost can be reliably measured. The capitalised development costs are subsequently amortised on a straight-line basis over their useful economic lives, which range from 3 to 6 years.

If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only.

2. Employees

	2025		2024
	Number		Number
Monthly average number of persons employed by the Company during the year, including directors	39		38

3. Tangible assets

	Vehicles		Fixtures and fittings		Computer equipment		Other property, plant and equipment		Total
	£		£		£		£		£
Cost
At 01 April 2024	77,720		15,175		68,641		5,565		167,101
Additions	0		1,720		16,431		0		18,151
Disposals	0		( 860)		( 14,670)		0		( 15,530)
At 31 March 2025	77,720		16,035		70,402		5,565		169,722
Accumulated depreciation
At 01 April 2024	1,943		14,365		51,590		3,100		70,998
Charge for the financial year	23,316		727		10,441		1,692		36,176
Disposals	0		( 860)		( 14,671)		0		( 15,531)
At 31 March 2025	25,259		14,232		47,360		4,792		91,643
Net book value
At 31 March 2025	52,461		1,803		23,042		773		78,079
At 31 March 2024	75,777		810		17,051		2,465		96,103

4. Fixed asset investments

Investments in subsidiaries

	2025
	£
Cost
At 01 April 2024	2,000
At 31 March 2025	2,000
Carrying value at 31 March 2025	2,000
Carrying value at 31 March 2024	2,000

5. Debtors

	2025		2024
	£		£
Debtors: amounts falling due within one year
Trade debtors	843,623		623,993
Other debtors	89,620		113,737
	933,243		737,730
Debtors: amounts falling due after more than one year
Amounts owed by Group undertakings	91,003		16,668
Other debtors	111,710		34,911
	202,713		51,579

6. Cash and cash equivalents

	2025		2024
	£		£
Cash at bank and in hand	634,058		663,904

7. Creditors: amounts falling due within one year

	2025		2024
	£		£
Trade creditors	14,850		13,135
Other taxation and social security	104,824		107,146
Obligations under finance leases and hire purchase contracts	9,930		9,096
Other creditors	707,977		597,822
	837,581		727,199

8. Creditors: amounts falling due after more than one year

	2025		2024
	£		£
Amounts owed to Group undertakings	291,789		98,936
Obligations under finance leases and hire purchase contracts	47,942		58,624
	339,731		157,560

9. Related party transactions

Transactions with the entity's directors

During the year the amount owed to the Company by a company owned by one of the directors increased by £76,799. The amount owed to the Company at the end of the financial year was £111,710 (2024 - £34,911).

Other related party transactions

The Company has taken advantage of the exemption in FRS 102 paragraph 33.1A from disclosing transactions with members of the group.