Do I have to pay Corporation Tax?

You must pay Corporation Tax on your profits if you:

• are trading as a limited company
• have a foreign company with a UK branch or office
• carry out a trade as a club, co-operative or another unincorporated association with a view to profit

There are a number of steps you must take in order to declare and pay your Corporation Tax, including:

• Register for Corporation Tax as soon as you start trading. This applies to dormant companies when they begin trading and newly incorporated companies.
• Calculate how much Corporation Tax you are liable to pay by completing a tax return.
• Pay your Corporation Tax

File your Corporation Tax return (CT600) with HMRC.

A note to remember is that the deadline to file your Corporation Tax return is 12 months after your financial year end. However, the Corporation Tax liability must be paid within 9 months and 1 day of your company’s financial year end.

At Shaw Gibbs, we have a specialist tax team that deal with all aspects of the Corporation Tax process, including; compliance with all deadlines and advice on tax mitigation, to ensure our clients are paying the correct amount of tax on time.

For more information on how we can help please contact Leigh Smith, Accounts Director at leigh.smith@shawgibbs.com or call 01865 292200 if you would like further advice.