HMRC internal manual

Tonnage Tax Manual

TTM02740 - Withdrawal notice: 2008 window of opportunity

FA08 introduced a number of changes in the types of vessel that qualify for tonnage tax.  All companies in tonnage tax were given the opportunity to withdraw without penalty.

Companies that were in tonnage tax throughout the period from 31 March 2007 to 31 March 2008 had to give a notice of withdrawal from tonnage tax with effect from 1 April 2008 subject to these conditions:

  • The notice had to be given to the HMRC office dealing with the Corporation Tax affairs of the company.
  • The notice had to be given between 1 April 2008 and 30 September 2008.
  • In the case of a group, the notice had to be given jointly by all the qualifying companies in the group.

The company’s activities from 1 April 2008 are subject to the normal rules of Corporation Tax.

Where a company did not have an accounting period ending on 31 March 2008, the company should have submitted a single return form CT600 for the whole of its accounting period as the exit from tonnage tax does not constitute a permanent cessation of activities – see FA00/SCH22/PARA53 (2).


FA00/SCH22/PARA15A TTM17076
FA00/SCH22/PARA53(2) TTM17306