This part of GOV.UK is being rebuilt – find out what beta means

HMRC internal manual

COTAX Manual

Claims / reliefs: other reliefs: S458 CTA 2010 - late payment interest

Late payment interest is chargeable under Section 87A TMA 1970 on S455 tax paid late from the normal CT due date (Word 49KB) of the AP in which the loan was made to the earlier of:

  • the date the tax is paid or
  • the date the loan giving rise to the charge is repaid, released or written off.

COTAX does not hold the latter date. When you use function RAMA (Record / Amend Assessment) to enter S458 details on an AP (and you will normally only need to do that for S458 relief deferred under S458(5)), COTAX sets the ‘clerical interest’ indicator (CII (Word 32KB)). Setting the CII inhibits COTAX from automatically posting an incorrect interest charge.

In these cases you should give the necessary details to the CT Unit in Cumbernauld using form CT250(P), which is an eform on SEES. See COM53300 for guidance on when to complete the form. The CT Unit in Cumbernauld will post the correct interest charge to the record using function RMIC (Record Manual Interest Charge). In the meantime you should not make any repayments; you must wait until you know the final interest charge due to ensure that any overpayment is set off against this charge before repaying the balance.

See Example 3 (Word 86KB) and Example 6 (Word 81KB).

Where a company claims relief under Section 458 because a loan has been wholly or partly repaid, released or written-off on or after the due date of the AP in which the loan was made, the relief is deferred under Section 458(5) until the normal due date for the AP in which the repayment, release or write-off takes place. In such cases the interest effective date precedes the time at which you can give the S458 relief.


  • COM53011 for a list of forms relevant to this subject
  • COM53012 for a list of functions to use in particular situations
  • COM53013 For legislation applying to this subject.