Corporation Tax Compliance & Planning

A corporation tax return is prepared from the finished accounts, not alongside them, so the computation and the CT600 agree to the filed figures line by line. Disallowable expenses, capital allowance claims, loan relationship debits and any group or loss claims are set out in supporting schedules, the accounts are tagged in iXBRL, and the return is filed with a note telling you what is due, when, and why the figure differs from the accounts profit.

Talk this through on a call

A corporate tax health check reads the last two or three returns with fresh eyes. It looks for reliefs that were available and not claimed, positions that were taken without a written basis, capital allowances missed on fit-outs, and associated company rules applied incorrectly. You get a short report ranking what we found by value and risk, with a recommendation on whether each item is worth amending, carrying forward or leaving alone.

Talk this through on a call

Corporation tax planning is a set of decisions taken before the year end, not a calculation after it. The interaction of marginal relief with associated companies, the timing of capital spend, pension contributions and bonuses, and whether the accounting date still suits the business all change the effective rate. We model the options on your forecast, show you the cash effect of each, and record the reasoning so the position is defensible.

Talk this through on a call

Capital allowances depend on identifying what was bought and how it qualifies: plant and machinery under the annual investment allowance, full expensing for companies where it applies, first year allowances for qualifying assets, integral features within buildings and the structures and buildings allowance for construction cost. We review the fixed asset additions each year, classify each item and keep the pools so nothing is claimed twice or missed.

Talk this through on a call

Property capital allowances reviews look inside a commercial property purchase or fit-out for the plant that is usually hidden in the price: heating, lighting, ventilation, lifts, sanitary ware and data cabling. The claim depends on the purchase contract, the seller's own claims history and a supportable apportionment of cost. We gather the evidence, prepare the apportionment and make the claim in the correct return, including where the property was bought some years ago.

Talk this through on a call

Group relief and loss planning makes sure a loss in one company is not stranded while another pays tax. We map every entity's profit and loss position before the year end, decide where losses should be surrendered, carried back or carried forward, and prepare the consents and claims that go with the returns. Terminal losses on a company that is closing are dealt with before it is struck off, not remembered afterwards.

Talk this through on a call

Group structures and holding companies are designed around three questions: what needs protecting, what will be sold, and where the cash should sit. A holding company can separate trading risk from property and investments and can let a subsidiary be sold cleanly, but it also brings consolidation, associated company effects and administration. We set out the structure, the tax cost of getting into it and the ongoing obligations before anything is incorporated.

Talk this through on a call

Corporate restructuring and reorganisations include inserting a holding company by share exchange, splitting a business into separate companies by demerger, and tidying share capital before a sale. Most of these rely on HMRC clearance to confirm the tax treatment, and on the steps being taken in the right order with the right paperwork. We prepare the clearance applications, the step plan and the accounting entries, and work alongside your solicitors on the legal documents.

Talk this through on a call

Share capital and share classes affect who can receive a dividend, at what rate, and what happens on a sale. Alphabet shares, growth shares and preference shares each carry tax consequences for the company and the holder, and some create an income tax charge on issue if the value is not supported. We advise on the design, agree valuations where needed, prepare the company law paperwork and record the changes at Companies House.

Talk this through on a call

Profit extraction planning models the mix of salary, dividends, pension contributions and benefits on your actual figures for the year, not on a generic table. The right answer moves with your other income, the company's profit level, the state of the director's loan account and what you need the cash for. We run the comparison before the year end and again before the personal tax return so both sides of the picture agree.

Talk this through on a call

Director's loan accounts and the s.455 charge are monitored through the year rather than discovered at the accounts stage. Drawings, personal expenses paid by the company and dividends declared without profits all end up on the loan account, and a balance still outstanding nine months after the year end triggers a charge on the company. We track the balance, plan the repayment or dividend to clear it, and reclaim the charge when the loan is repaid.

Talk this through on a call

Employee share schemes under EMI let a qualifying company grant options to key staff with an agreed value at grant and favourable treatment on exercise and sale. The work covers eligibility of the company and the employees, the option agreement and plan rules, agreeing the share valuation with HMRC in advance, the notification of grants within the statutory window and the annual return. We run the process end to end with your solicitors.

Talk this through on a call

International and cross-border tax for an owner-managed company usually means withholding tax on royalties and interest paid abroad, CT61 returns, treaty claims to reduce the rate, and the question of whether activity overseas has created a taxable presence there. We deal with the UK side, coordinate with advisers in the other country where one is needed, and make sure double tax relief is claimed rather than assumed.

Talk this through on a call

Transfer pricing and intercompany charges matter whenever connected companies trade with each other, recharge management time or lend money. The price has to be one that unconnected parties would agree, and the basis has to be written down. We document management charges, interest on intercompany loans and cost-sharing arrangements, keep the agreements current and make sure the charges are actually invoiced and paid so they hold up if questioned.

Talk this through on a call

Exit, succession and business asset disposal relief planning starts years before a sale, because the conditions for relief are tested over a qualifying period, not on the day. We check that shareholdings, roles and the company's trading status meet the conditions, tidy the structure so a buyer sees a clean company, and model the after-tax outcome of a sale, a management buyout or a handover to family, so the decision is made on real numbers.

Talk this through on a call