Firstly, what is a CT600 form?
A CT600 form is basically the technical name for a company tax return, and it is necessary for companies to inform HMRC of things like their profits and outgoings, and many other things relating to a company’s finances, once a year as company you will need to submit one.
If you are self-employed, a sole trader, or in a partnership, you will be required to submit a self-assessment tax return instead.
Who needs to file a CT600 Form?
CT600 Forms must be submitted by persons who run limited companies. first things first though, you will have to have registered for corporation tax.
When you initially are setting a limited company up, you will need to register with Companies House, along with this people tend to register for PAYE and corporation tax at this juncture.
How do you file a CT600 Form?
Most people will have to file their company tax return online.
You are only allowed to use the paper version of the CT600 form if you’re filing a tax return in Welsh or you are simply not able to submit the form via the internet.
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If you are in a situation whereby the paper CT600 form is the only option you will also need to submit a WT1 form to explain the reasons why you have needed to file a paper form.
Some of the questions on the form don’t seem applicable to me?
Thankfully the likelihood is that you won’t need to answer all of the questions on the form, which seeing as it is 11 pages long will be music to many ears.
This is because not all questions will be relevant to your specific business.
Let’s have a look at the areas that will definitely require your full attention;
- Company information (boxes 1-4)
- About this return (boxes 30-35)
- About this return (boxes 80-85)
- Tax calculation (boxes 145-150)
- Income (boxes 155-205)
- Chargeable gains (boxes 210-220)
- Profits before deductions and reliefs (boxes 225-235)
- Deductions and reliefs (boxes 240-325)
- Tax calculation (boxes 330-440)
There are a number of other sections where you may find you’ll have to elaborate on areas like your capital gains income and other details however these parts aren’t really applicable on the majority of CT600 forms filed.
At times you may find that the maths you have to perform is pretty complex and you don’t feel confident providing answers which may be inaccurate, which may result in a fine.
As such many people opt to employ the services of an accountancy firm to fill out and file the CT600 form for them.
Do remember though that if this is the route you take you will still be liable if any of the information submitted to HMRC is incorrect.
Should I enlist the help of an accountant?
Ever the popular option, and something we would recommend but not all accountants are equal! Do your homework, vet a few and seek recommendations.
A good accountant is worth so much more than an easy CT600 submission.