By Tolley

The following Owner-Managed Businesses guidance note by Tolley provides comprehensive and up to date tax information covering:

  • Claims
  • Overpayment relief
  • Special relief
  • Capital allowances claims
  • Format of claims not made in a return

Claims which are made on the tax return include losses, group relief and capital allowances (this is covered in more detail below). The claims themselves must be made on the CT600 and must be quantified in amount. Claims may be amended in the normal time limit, which is 12 months following the normal filing date.

FA 1998, Sch 18, para 54

Other claims not made on a CT600 include overpayment relief and special relief. These are covered in more detail below.

Overpayment relief

Essentially, overpayment relief provides a mechanism for amending errors or mistakes. A claim for overpayment relief can be made where a company has paid, or been assessed for, corporation tax which it believes is not due. The claim must be made within four years of the end of the relevant period. If a claim is refused, an appeal may be made in writing to the tribunal within 30 days of the notice of refusal.

FA 1998, Sch 18, paras 51, 51B
Exclusions ― where overpayment relief claim cannot be made

The situations where an overpayment claim cannot be accepted are listed in FA 1998, Sch 18, para 51A. These are where:

  • the mistake is in (or is a failure to make) a claim, election or notice, or is a mistake in allocating expenditure or disposal proceeds to capital allowance pools
  • a company could still effect relief by other means, or has failed to do so and should reasonably have known that such relief was available
  • the grounds for a claim are, or have been, already subject to appeal proceedings
  • the company should reasonably have known whilst it was still able to make an appeal against the excessive liability
  • the

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