This is giving me a headache.
I have a Community Benefit Society client registered with the FCA that is going to brew beer. Given problems due to c***d they've not been able to develop a product or make any beer, or sell any beer. The C word has really dropped a bomb on the lead times for everything. They have received grants for equipment, which they have started buying, and there's been quite a bit of spending on expenses and development. Other people's beer has been sampled. They use the company bank account.
The first period from registration is 18 months from October 2019 to March 2021, and we're now in September 2021 and we have no product to sell yet, with a likely start of trading around January 2022 with a fair wind. Plenty has happened up to March 2021.
Do I submit dormant accounts for this first period? Being used to generally dealing with ongoing work, this kind of limbo period causes me all kinds of cognitive dissonance. We're definitely not trading, but at the same time there are significant transactions. Does being a CBS affect this in any way? The Society will be exempt from audit.
Grant income is going to be matched to expenditure so shouldn't generate a profit.
In terms of reporting activity we can describe that on the AR30.
In terms of Corporation Tax HMRC will also need to have information, but all pre-trading transactions would hit at the beginning of the trading period.
This is making me ill, so if anyone could kindly and clearly set out my proper course that would be very much appreciated. All online searches seem to use examples that don't fit with my situation. They are always too simple, to illustrate a point, rather than meatier, to demonstrate the full implications of rules.