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HMRC internal manual

Company Taxation Manual

ACT collection: international headquarters companies (IHC): general

ICTA88/SCH13/PARA3A (1) & (2)

The provisions relating to payment of ACT by IHC were repealed by F2A97 with effect foraccounting periods beginning on or after 6 April 1999.

 A company does not account for ACT on paying an FID if it treats itself as an IHC (CTM21505) at the time of payment. The CT61 return made by the company for the return period of payment must:

  • say that the company has treated itself as an IHC,
  • show the basis for so treating itself,
  • not include the amount of the FID in the figure for FID paid,
  • show separately the amount of the FID.

An FID paid in these circumstances is ignored for the purposes of ICTA88/S246F (1) and(2) and ICTA88/SCH13/PARA2 (5) and 4A, (see CTM21220, CTM22060 and CTM22085 respectively).