Corp. Tax for small property company
I compile the accounts of a small limited company which was formed by a developer for a small estate. All the residents are shareholders and now the estate is complete three of the residents are Directors. Normally such a company would not pay Corporation Tax and did not do so when the developers were the Directors, nor in the first year that the residents have been in control. The Directors have now opened an interest bearing bank account and have received bank interest of less than £10 for a year. I am concerned that even though this is a very small amount and the CT would be very small, but do the Directors need to apply to their nearest Tax Office, and do they need to complete a CT600 ?
Would appreciate help from an Accountant who has come accross this before.
Thanks
Nevill
Probably not
Provided your company is due to pay less than £100 of corporation tax a year and meets the conditions set out in http://www.hmrc.gov.uk/ctsa/small-tax-liabilities.htm Clubs, unincorporated associations and property management companies: Small tax liabilities, you should apply to your CT office to be treated as dormant for CT purposes.
Euan MacLennan
PS Can a techie please tell me how to set it up so that the web address is replaced by specified text? I could do it on the old website, but not on the new. I have tried [a {Enter}] text [/a] (using < for [ and > for ]) and although this does indeed replace the web address with the text, the link no longer works and only appears as a link when the mouse is over it.