Corp Tax - Chapter 4

Question 1

When is Corp Tax due for smaller companies

Answer 1

9m + 1 day after end of AP

Question 2

When is Corp Tax due for Large companies

Answer 2

Quarterly

Question 3

CT600 Criteria - what goes on/with the return

Answer 3

Give details of the income a company has earned and the gains it has made, together with the calculation of the corporation tax liability.

The submission of the tax calculation is compulsory for companies.

When a company submits its form CT600 online, it will also submit a set of accounts

Question 4

Duty to Notify

Answer 4

The company must give written notice within three months of the start of the accounting period. The notice must state when the accounting period began.

The detailed information to be given in the notice is as follows: SI 2004/2502

a. The company’s name and registration number.
b. The address of the company’s registered office.
c. The address of the company’s principal place of business.
d. The nature of the business being carried on by the company.
e. The date to which the company intends to prepare accounts.
f. The full names and addresses of the directors of the company.
g. In the case of a business formerly carried on by others:
* the name and address of that former business; and
* the name and address of the person from whom the business was
acquired.
h. In the case of a company which is in a group relief group:
* the name of the parent company and the address of its registered office.
i. In the case of a company which has been obliged to comply with the
requirements of the Income Tax (Pay as You Earn) Regulations 2003:
* the date on which that obligation first arose.

The rules do not apply to unincorporated associations or partnerships.

No failure to give notice will arise where the company has a reasonable excuse, so long as it gives notice within a reasonable time once the excuse has passed

Question 5

Notice to file a Return - time period if no notice from HMRC

Answer 5

12M FROM end of AP

Question 6

HMRC Amendments

Answer 6

9m from actual filing date

Question 6

Long period of Account

Answer 6

Single filing date - 12m from end of AP

The company will have two APs, two payment dates and one filing date, which we can remember by calling this the ‘2-2-1’ rule

Question 7

Amendments

Answer 7

• HMRC have nine months from the actual filing date.
• The company has 12 months from the due filing date (not the actual filing
  date).

Question 8

Enquiries

Answer 8

For individual companies and small groups, 12 months from the day after the
return is received, assuming the return is not late.

• For large groups, 12 months from the due filing date, assuming the return is not
  late.
• For all companies where the return is filed late, 12 months from the quarter day
  following the actual filing date

Question 9

Records…

Answer 9

A company must keep such records as are required to allow it to file a correct and
complete return and must preserve those records for six years from the end of the
period for which the company may be required to deliver a tax return.

Question 10

Discovery Assessments

Answer 10

If they discover that:

a. an amount which ought to have been assessed has not been assessed;

b. an assessment is or has become insufficient; or

c. relief has been given which is or has become excessive.
The assessment is to be an amount which is considered necessary to make good
the loss of tax.

Question 11

Overpaid Tax

Answer 11

4 years of the end of the AP

Not made on the company ITR

Question 12

Capital Allowances Claim

Answer 12

The time limit for making, amending or withdrawing claims is the latest of:

• the first anniversary of the filing date for the tax return;
• 30 days after an enquiry into the return is completed;
• if the return is amended by HMRC following an enquiry, 30 days after the notice of amendment is issued;
• if an appeal is brought against such an amendment, 30 days after the appeal is finally determined; or
• such later time as HMRC allow.