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By all Limited Companies must be filed

Corporation Tax Return within

12 months after the financial year. 

Corporation Tax on profits from

doing business as:

·       a limited company

·       any foreign company with a UK branch or office

·       a club, co-operative or other unincorporated association

You don’t get a bill for Corporation Tax. There are specific things you must do to work out, pay and report your tax.

1.   Register for Corporation Tax when you start doing business or restart a dormant business. 

2.   Keep accounting records and prepare a Company Tax Return to work out how much                 Corporation Tax to pay.

3.   Pay Corporation Tax or report if you have nothing to pay 

4.   File your Company Tax Return by your deadline 

Taxable profits for Corporation Tax include the money your company or association makes from:

If your company is based in the UK, it pays Corporation Tax on all 

·       doing business 

·       investments

·       selling assets for more than they cost 

its profits from the UK and abroad.

If your company isn’t based in the UK but has an office or branch here, it only pays Corporation Tax on profits from its UK activities.

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Frequently asked questions

Corporation Tax FAQs

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How do I send my Company Tax Return online?

You need software to do this. If you represent a small company or organisation with straightforward tax affairs, you can use the HM Revenue and Customs (HMRC) free downloadable Corporation Tax online filing software. Otherwise, you can use one of the commercial software packages that has successfully passed HMRC's testing procedures.

You can find out about commercial software on the software and online forms forms page.

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What does Corporation Tax Online let me do?

The HM Revenue and Customs (HMRC) Corporation Tax online service offers these features:

• Submit Company Tax Returns - most companies or their authorised agent can send Company Tax Returns, accounts and computations online

• Joint-filing of company accounts - some companies can submit their statutory accounts to HMRC (as part of their Company Tax Return) and can send statutory, abbreviated or dormant accounts to Companies House using one' online facility

• View liabilities and payments - a single company or their authorised agent can view the company's liabilities and payments. The nominated company in a Group Payment Arrangement or their authorised agent can view the liabilities and payments for the group, any money apportioned out to individual companies within the group and the company's own liabilities and payments

• Change of details - unincorporated organisations or their authorised agent can change their name, business address, telephone number and contact details. Companies (incorporated organisations) can only use the service to update their contact details for Corporation Tax. If you're changing the registered name or registered office address, you must notify Companies House. As soon as Companies House has updated their records they'll advise HMRC about the change automatically.You don't need to tell HMRC separately

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How does the downloadable HM Revenue and Customs (HMRC) online filing software work?

You need Adobe Reader version 9.2 or later to use the HMRC software. If you have an older version of Adobe Reader, HMRC recommends that you download the latest version from the Adobe website before you download the HMRC software. The download is free.

When you select the HMRC software for download, a PDF form is sent to your computer. This form is pre-populated with your Unique Taxpayer Reference (UTR) and Companies House Registration Number as well as the dates for the accounting period you have selected. When downloading the software you must choose the 'Save' option rather than 'Open' or 'Run' for the form to work correctly.

For more information follow the link 'How do I change the Trust Settings in the HM Revenue & Customs (HMRC) CT600 online filing software?'

The software has 3 key parts: a CT600 (Short) return form, accounts templates and computations templates. The templates are designed for smaller companies and organisations with straightforward affairs.

More detailed information about who can use the CT600 (Short) return form and the information you can report using the accounts and computations templates can be found on the Who can use HMRC's Corporation Tax online filing softwarepage.

The software also has on-screen help, prompts and guidance so you can check and identify any mistakes as you work through each section.

Once you've completed your Company Tax Return, follow the submission process within the form to log in to the HMRC Corporation Tax online service and submit your completed return.

             

How do I know if the commercial software I use is compatible with the Corporation Tax online service?

You should check with your supplier that it's compatible with the HM Revenue and Customs Corporation Tax online service.

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Can I submit a test submission of my Company Tax Return?

The HMRC Corporation Tax online service supports 'test in live' service for commercial software users. 'Test in live' lets users submit a sample Company Tax Return as a test to HM Revenue and Customs (HMRC) before sending for real. Please check with your supplier whether or not the product you're using supports 'test in live'.

Please note: There is no testing service for customers using the HMRC Corporation Tax online filing software. The accounts and computations templates make sure your return meets the format requirements

   

                   

What CT600 supplementary pages are supported by the HM Revenue and Customs (HMRC) online filing software?        

The following supplementary pages are supported:

• CT600A (Loans to participators by close companies)

• CT600E (Charities and Community Amateur Sports Clubs)

• CT600J (Disclosure of tax avoidance schemes)

HMRC's software also includes accounts and computations templates. If you use these, you don't need to worry about sending this information in the right format. This will be done for you automatically.

Alternatively you can attach your own accounts and computations. For most companies the accounts file you attach must be in Inline eXtensible Business Reporting Language (iXBRL). Unincorporated organisations can submit their accounts in either iXBRL format or as a PDF. Computations must always be in iXBRL format.

You can also attach other supporting documents that are needed as part of your return, for example claims or elections, reports or statements. These attachments must be in PDF format.

Please note: The maximum combined file size for attachments when using the HMRC downloadable software is 5MB.

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I don't currently send my Company Tax Return online. What do I need to do to get started?

If you're already signed up as an organisation for other HM Revenue and Customs (HMRC) online services - such as PAYE for Employers or VAT - you can easily add Corporation Tax to your existing account. To do this, log in to HMRC Online Services with your existing HMRC Online Services User ID and password and follow the 'Enrol for service' link next to 'Corporation Tax (CT)'. There are simple on-screen instructions to guide you through the enrolment process.

Log in to HMRC Online Services

If you’re not already signed up for other HMRC online services you need to do so before you can send your return online. See FAQ: 'How do I register as an Individual (or Organisation)'?

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How do I know my Company Tax Return has been received?

If you stay online after submitting your Company Tax Return your software should display a 'Submission successful' page which confirms that HM Revenue and Customs (HMRC) has received your return. If you've provided an email address HMRC will also send you an email confirming they've received your return.

At busy times there may be a delay in notifying you that the submission has been successful, so it's a good idea to provide an email address. You can update or add an email address to your details by logging in to the HMRC online services and following the 'Change details' link on the 'Your account' page.

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My company is a member of a group of companies - can I use the HM Revenue and Customs (HMRC) online filing software?

A group company can use HMRC's online filing software unless they have to report any group transactions (for example Group Relief). You must report group transactions on the supplementary page CT600C and this is not included in the HMRC software. You can of course use commercially available software to submit your return online.

No matter what software you use, you must set up an HMRC Corporation Tax online account before you can submit returns online.

Guidance for groups of companies setting up online accounts can be found on the Groups of companies: what to consider before setting up your online account page.

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Can I amend my Company Tax Return online after I've submitted it?

Yes. You can amend a return you've already submitted to HM Revenue and Customs (HMRC). You can send amendments online or on paper.

Guidance about how to amend a return can be found on the Corporation Tax Online: setting up and managing your online account web page.

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I have activated the service, but still can't see my company's data. What do I need to do?

If you activate the service between Monday and Friday (before 15.00) you'll be able to view your company's data the next day. However, if you activate the service after 15.00 on a Friday or, on a Saturday or Sunday you'll be able to view your data from the following Tuesday.

If you experience any problems please contact the HM Revenue and Customs Online Services Helpdesk.

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What type of file format must I use when I submit my accounts and computations online?

For accounting periods ending after 31 March 2010, you must submit your tax computations and, with very few exceptions, the accounts that form part of your Company Tax Return, in inline eXtensible Business Reporting Language (iXBRL) format

You can only include one iXBRL Statutory Acccounts file as part of your Company Tax Return. If you're including iXBRL accounts as part of the online return, any additional accounts forming part of the return must be attached as PDF files. You must use a lowercase suffix (.pdf) with the file name or the upload will fail.

You can find detailed guidance on HM Revenue ands Customs Corporation Tax online filing requirement and using iXBRL on the Corporation Tax online filing and electronic payment webpage.

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Can I submit Company Tax Returns over the internet covering any accounting period?

Yes.

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Do charities have to submit accounts using iXBRL?            

Unincorporated charities can submit their accounts as a PDF file. In addition, under transitional arrangements, smaller charities incorporated under the Companies Acts can submit their accounts as a PDF file.

You can find detailed guidance about the transitional arrangement for smaller charities on the Charities - Claims and Returns webpage

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I'm attaching my accounts and computations to my CT600 return form - What do I need to do to make sure the data is in iXBRL format?

Most companies won't have to take special steps to convert accounts or computations into iXBRL. This will be done automatically by commercially available Final Accounts Production (FAP) or tax preparation software. However, FAP and conversation software users may have to do some manual tagging initially to expand on the automatic tagging provided by the software.

You can find detailed guidance about how and what to tag in iXBRL format on the Corporation Tax online filing and electronic payment webpage

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Can I change the date of an accounting period online?

Yes. You can use either HM Revenue & Customs (HMRC) software or commercial software to submit the Company Tax Return online even if your accounting period has changed. 

If you use HMRC's software, you can change the accounting period that's shown, or tell HMRC about a new one, by following the ‘File a return and accounts’ on-screen prompts. You can then download and complete the HMRC online filing software for the changed accounting period.

If you use commercial software, you can provide the accounting period start and end dates as part of the return and, depending on your software package, the software may enter this for you automatically.

Whichever software you use, your accounting period (the return period) can't be more than 12 months long but it may be shorter depending on your company's circumstances. If your accounts are for a period of more than 12 months long please see the FAQ 'My accounts are for a period of more than 12 months. How can I file a Company Tax Return?'

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I am an agent and don't currently submit my client's Company Tax Returns online. What do I need to do to get started?

If you're registered with HM Revenue and Customs (HMRC) as an agent and you have an Agent Reference Number, you can register for Corporation Tax for Agents . You can register as an agent by contacting your Corporation Tax Office.

You can then register and enrol for Corporation Tax for Agents through the online services registration pages.

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My accounts are for a period of more than 12 months. How can I submit a Company Tax Return?

A Corporation Tax accounting period can't be longer than 12 months. For example, if your company accounts cover an 18-month period, and your company is trading throughout, you must submit 2 Company Tax Returns because you'll have two Corporation Tax accounting periods. The first accounting period covers the first 12 months and the second period covers the remaining 6 months.

You only need to include your company accounts - in iXBRL format - with one of the Company Tax Returns.

Using HMRC's Corporation Tax online filing software

If you're using HMRC's online software, the accounting periods will be listed based on information held by HMRC, but you may need to change them. To do this,see the 'Change Accounting Period' function. You can then select and download the online return form for each accounting period. But you only need to complete the accounts template for the firstaccounting period, along with the computations for the same period.

For the second and any subsequent accounting period:

• select 'No' to the question 'Do you want to use the accounts service'

• complete the computations template for the accounting period and in the 'Final Review' section select 'The period that the accounts are drawn up differs from the accounting period' from the drop-down menu to confirm why you've not included accounts

Using commercial software

You must tell HMRC what your accounting period start and end dates are when you submit your return(s).

If you're using commercial software, you can attach one computation for the entire accounting period to one CT600 return form (with matching return period start and end dates). If you do this you'll need to include an explanation on the CT600 form that the computation is not included because it's included with the other form.

Alternatively you can attach the 'same' computations to both CT600s by changing the dates reported for the return period start and end dates in the computations or attach a separate computation to each return covering the accounting period.

Please contact your software provider for advice if you need more information about how to use your software.

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I'm already registered as an agent and have a client who's a nominated company within a Group Payment Arrangement. How do I view the group liabilities and payments?

The nominated company will appear on your client list (providing a form 64-8 or similar authorisation is in place) and you'll be able to view both the company details and those of the group by using the nominated company's Unique Taxpayer Reference (UTR).

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My company is within a Group Payment Arrangement. Can I view the group's liabilities and payments?

Only the nominated company within a Group Payment Arrangement will be able to view the group's details.

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My company is the nominated company within a Group Payment Arrangement. How do I view the group's liabilities and payments?

When viewing liabilities and payments on the left-hand navigation menu, select 'Group Payment Arrangement' to view a summary of the group's liabilities and payments.

 

As an agent, do I need to obtain a declaration and keep a copy of my client's Company Tax Return before I submit it online?

If your client is a company, you can complete the declaration on their behalf and submit the return if both the following conditions are met:

• you make a copy of the information before sending it

• you have confirmation from the proper officer of the company (or other person authorised to act for the company), that the information is correct and complete to the best of their knowledge. Confirmation can be on paper or electronic

You, or your client, should keep a copy of the Company Tax Return and declaration, for the same duration as other records relating to the accounting period. You can choose to keep either a paper or electronic copy with an electronic signature.

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My company is the new nominated company within a Group Payment Arrangement and I've registered to view liabilities and payments. How long will I have to wait before I can view the group's summary too?

The changes will be made overnight. You'll be able to view the group's liabilities and payments the next day.

Please note: If the changes are between Monday and Friday before 3pm you'll be able to view the following day. However, if it is after 3pm on a Friday or on Saturday or Sunday, you won't see the changes until the following Tuesday.

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How many years' liabilities and payments will I be able to view?

For a single company, 7 years of information.

For a Group Payment Arrangement, 5 years of information.

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My company has been 'struck off'. Am I able to use the Corporation Tax online service?

No. Once HM Revenue and Customs' records show your company has been struck off, you won't be able to use the service.

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My company is in administration. Will I be able to use the Corporation Tax online service?

No. Once HM Revenue and Customs records show that your company is in administration, you won't be able to use the service. However, you can use the service again once the period of administration is over.

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My company is in liquidation. Will I be able to use the Corporation Tax online service?

No. Once HM Revenue and Customs’ records show that your company is in liquidation you won't be able to use the service. The liquidator can however use the service.

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My company is dormant. Do I have to submit a Company Tax Return online?

The regulation for online filing of Company Tax Returns doesn't change the legal requirement to submit a return. If HM Revenue & Customs (HMRC) sends you a notice to deliver a return then you must do so. In most cases, if HMRC knows that a company is dormant, they will not send a notice to deliver a return.

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Do I have to use the joint filing service to file statutory, abbreviated or dormant accounts to Companies House?

No. The joint filing service is an optional addition to HMRC's online filing software. If you choose not to use the joint filing service or you're encountering difficulties, it's important to make sure you still comply with the Companies Act requirements. You should check your filing deadline and submit accounts to Companies House direct, using the options available from the Companies House WebFiling service.

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How do I change the Trust Settings in the HM Revenue and Customs (HMRC) CT600 online filing software?

After downloading the HMRC software, you'll also need to change some computer settings in Adobe Reader. HMRC recommends you do this before you start to complete the PDF form.
You can find guidance about how to change the settings on the 'Changing settings in Adobe Reader and filing attachments page'.                                            ​​

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