Firms get reminder on corporation tax changes

The HM Revenue & Customs (HMRC) has published an urgent alert about important alterations to corporation tax coming in this April.

The changes will require all company tax returns sent in from April 2011 to be filed online, for accounting periods ending after 31 March 2010, in a specified data format (known as Inline XBRL or iXBRL).

Corporation tax payments must also be paid electronically from April – a move that will affect all limited companies, including clubs, societies, cooperatives, associations and charities.

Companies will be able to file tax returns online either through specialist software packages that are commercially available.  Alternatively, the HMRC offer their own filing software, which is aimed at smaller companies with less complex tax records.

Jon Wright FCA, Liquid Accounts’ Technical Director said, ‘This is generally something that your accountant will deal with for you and is beyond the scope of Liquid Accounts.  However, Liquid does provide your accountant with all the information and tools he needs to calculate your tax and complete your return quickly and efficiently without leaving his desk (provided your accounts are up-to-date!).’

For more information on this story visit the HM Revenue & Customs website here and speak to you accountant for further advice about how s/he would like you to deal with this.

To keep up-t0-date on new from Liquid click here or you can follow us on Twitter.