Corporate interest restriction

Oct 08, 2018

HMRC has updated its Corporate Interest Restriction (CIR) internet page to make it clearer when a group should appoint a reporting company and submit an interest restriction return (IRR).

If your client has a period of account ending on 31 March 2018, the deadline to do so was 30 Se‌pt‌em‌be‌r 2018.   

The deadline for appointing a reporting company under the CIR rules is currently six months, but there are plans under draft legislation for this to be extended. Please note, however that this change will not take effect before the date of Royal Assent of the next Finance Bill. 

It is vital that a reporting company is appointed before an IRR is submitted.‎ IRRs that are submitted without a reporting company in place are invalid and will need to be re-submitted once a reporting company has been appointed.‎ If you have missed the deadline for appointing a reporting company, please contact your Customer Compliance Manager or if you do not have one, email the CIR team (see below) setting out why you wish HMRC to appoint a reporting company for you. 

HMRC is in the process of including guidance on the CIR in its Corporate Finance Manual but this process is not yet complete. In the meantime, please continue to access the full guidance here

Any technical queries that are not covered by the guidance should be emailed to the CIR team: mailto:interest-restriction.mailbox@hmrc.gsi.gov.uk

Please note that this mailbox does not accept appointments, interest restriction returns or elections. The CIR internet page explains how such items should be submitted to HMRC.