Corporation Tax Return Accountant Guide

As a limited company owner you have to file a corporation tax return within twelve months of your companies’ financial year end.

To do this you have to submit a corporation tax return (form CT600) to companies house.

You need to submit a corporation tax return even if the company is not trading and do it on time or penalties of up to £3000 can be imposed by companies house.

On the other hand if you complete your corporation tax return incorrectly you can lose significant amounts of money and pay more corporation than you need to.

A limited company also has to submit a separate company tax return to HMRC each tax year.

Do I need a corporation tax return accountant?

Ensuring that you claim the appropriate allowances and reliefs for corporation tax is crucial in minimising your corporation tax liability.

Having experience in this aspect of managing your company’s finances can make a significant difference which is why using an accountant with corporation tax return expertise is worth considering.

Your corporation tax return accountant will help minimise your corporation tax liabilities letting you reinvest your money in your business or return it to your shareholders.

Importantly they can also make sure your corporation tax return and company tax return are submitted on time meaning you will avoid late filing penalties.

You can use our free Guide to Corporation Tax Returns » to learn more about corporation tax.

How to file your corporation tax return

A corporation tax return is a document (CT600) that companies submit online to disclose their earnings and expenditures.

The figures entered on your CT600 are used to determine the company’s taxable income which in turn determines the amount of corporation tax owed.

A CT600 form is divided into various sections, each dedicated to specific types of information including exemptions, allowances and deductions which importantly reduce your tax liability.

Understanding how you can accurately use what is legitimately available to adjust your taxable trading profits is important and includes options like:

• Corporation tax adjustments.
• Corporation tax losses.
• Capital allowances.
• Annual investment allowance (AIA).
• Chargeable gains.
• Research and development (R&D) tax relief.

After your corporation tax return has been submitted and received your accountant can guide you on how and when to pay your corporation tax bill.

Choosing a corporation tax return accountant

The internet offers lot’s of information regarding businesses, firms, and individual accountants.

It’s best practice to invest some time in conducting research to determine an accountants reputation and accreditation in their respective fields.

If you have any questions take the initiative to contact the firms or accountants you are contemplating working with.

Examples of common questions to ask inlcude what is the cost of your corporation tax return completion service? and how much experience do you have in dealing with the accounts of similar businesses?