Corporation Tax

[stanhope4]

Hi,

Hope you can give me some advice

I have just worked out my corporation tax and i think i am going to be short by 3k

How can i reduce my corporation tax amount, all the expenses i have taken over the year is just milege??

Hope you can help

Regards

Desperate Stanhope 4

[TykeMerc]

Hi,

Hope you can give me some advice

I have just worked out my corporation tax and i think i am going to be short by 3k

How can i reduce my corporation tax amount, all the expenses i have taken over the year is just milege??

Hope you can help

Regards

Desperate Stanhope 4

The only legitimate way to reduce your Corporation Tax is for your MyCo Ltd to have genuinely lower profits, you should be sure that all of your actual business expenses have been captured.
If you falsify your accounts that's Tax Evasion and Fraud and will see you in one of Her Majesties Boarding Houses for the Naughty and Terminally Stupid.

[pmeswani]

Hi,

Hope you can give me some advice

I have just worked out my corporation tax and i think i am going to be short by 3k

How can i reduce my corporation tax amount, all the expenses i have taken over the year is just milege??

Hope you can help

Regards

Desperate Stanhope 4

Speak to an accountant and hope they can save your backside big time.

You may need to pay the Company the money back and make notes to indicate that you took out a director loan. Worst case scenario, get the bank to grant you a short term overdraft to cover the 3k and give yourself a reduced salary / dividend until your debt has been paid off.

[lambrini_socialist]

don't you have something like 9 months to actually pay it from the time that you get the bill?

[Mustang]

Hark! Is that the sound of Mal's head thumping the wall.....?!

[stanhope4]

As i haven't filled my accounts yet, would it be 9 months from this date??

I have emailed my accountant who are fililng them to see if we can amend them to include all of the expenses i have incured but not claimed for like food, accomodation etc

Is this allowed?

[pmeswani]

Hark! Is that the sound of Mal's head thumping the wall.....?!

I wonder how much blood he has lost as a result of all that head thumping?

[DaveB]

Hi,

Hope you can give me some advice

I have just worked out my corporation tax and i think i am going to be short by 3k

How can i reduce my corporation tax amount, all the expenses i have taken over the year is just milege??

Hope you can help

Regards

Desperate Stanhope 4

Talk to your accountant, assuming you have one. If not, find one. Any of the guys who post on here would be happy to help out I'm sure - for a fee of course.

In the mean time, you have 9 months from Co. financial year end to file you co. tax return and pay the CT bill. You can make an entry in your accounts that the Co. gave you a directors loan for the amount in question. You can then pay it back to the Co. which will acoount for the funds and balance the books. Where you get the 3k from to do that is up to you. As long as the money is back in the Co. account before you submit your corporation tax return and pay the outstanding amount you will be fine.

In the mean time find yourself a decent accountant. They will stop you getting in a mess like this again. Annual costs for a decent accountant will be much less than the 3k you now need to find to sort this out.

[pmeswani]

Talk to your accountant, assuming you have one. If not, find one. Any of the guys who post on here would be happy to help out I'm sure - for a fee of course.

In the mean time, you have 9 months from Co. financial year end to file you co. tax return and pay the CT bill. You can make an entry in your accounts that the Co. gave you a directors loan for the amount in question. You can then pay it back to the Co. which will acoount for the funds and balance the books. Where you get the 3k from to do that is up to you. As long as the money is back in the Co. account before you submit your corporation tax return and pay the outstanding amount you will be fine.

In the mean time find yourself a decent accountant. They will stop you getting in a mess like this again. Annual costs for a decent accountant will be much less than the 3k you now need to find to sort this out.

Would also be wise for the OP to speak to an accountant to agree on a monthly salary / divi payment scheme alongside getting the dispensation / expense policy sorted out to prevent this problem from happening again.

[Zen Contracting]

The correct timings are 9 months and one day after the company's year end to pay the corporation tax due and a year and one day after the company's year end to file the CT600 return.

Stanhope, if you'd like a quick 20 minute chat on the phone I'd be happy to see if there is anything that can be done, legally (!), to reduce your CT liability.

PM me if your interested and I'll let you have a note of my phone number.

Regards.

David.