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HMRC internal manual

Enquiry Manual

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Interest: Companies - CTSA Accounting Periods Ending 01/07/99 Onwards

TMA70/S87A

TMA70/S87

CT and Tax CTA10/S455

TMA70/S87A interest accrues on CT, and via TMA70/S109 tax under CTA10/S455, that is unpaid for any reason from the date the tax becomes due and payable under TMA70/S59D. This is nine months and one day after the end of the accounting period (AP). COTAX should be used to calculate the interest due.

With the introduction of CTSA CT late payment interest was made an allowable deduction and the rate of interest payable was increased.

Large companies who make quarterly instalment payments pay a lower rate of CT late payment interest for the period from the date each instalment is due to the date the CT becomes payable for the AP under TMA70/S59D.

Income Tax and ITA07/Part15/Chapter15

TMA70/S87 interest accrues on tax that is unpaid for any reason from the date the tax becomes due, that is 14 days after the end of the return period.