Returns: partnership returns: partnership cessation
Where a partnership ceases to trade, including where there is a sole trader to partnership or partnership to sole trader change during the return year, the partnership return should show the date of cessation or change (commencement or cessation).
Where the partnership ceases to trade, set the Last Return Required signal to the year of the last return received.
Where the business commenced, or is deemed to have commenced, before 6 April 1994 and has now ceased, an Inspector should consider the implications of transitional overlap relief or overlap relief. There is a potential tax loss if this review is not made.
Where the business clearly commenced after 5 April 1994 and has now ceased, all years should be reviewed for the implication of overlap relief.