RPDT40100 - Commencement and transitional provisions: commencement date and straddling accounting periods - section 51 Finance Act 2022

RPDT applies to profits arising on or after 1 April 2022. Where a company has an accounting period that straddles that date then it is treated as having an accounting period for RPDT purposes that begins on 1 April 2022 with profits being attributed to that period from its Corporation Tax accounting period on a time basis, FA22/S51(1)-(3).

Likewise, RPDT will only apply to losses that arise from 1 April 2022. Losses that arise before that date cannot be set against RPDT profits.

RPDT01100 explains that the Government intends for RPDT to be time limited. No end date is provided for in the legislation but it is intended that the tax will end once a sufficient contribution to the costs of remediating building defects has been obtained.

RPDT01100 contains a general introduction to RPDT and a list of abbreviations used.