June corporate interest restriction deadline approaching

Jun 26, 2018

Corporate groups within the scope of the Corporate Interest Restriction rules are required to submit an interest restriction return and should use HMRC’s online portal provided for electronic submission, accessible from the webpage Corporate Interest Restriction on deductions for groups.

The normal deadline is 12 months after the period of account, but for those groups whose period of account ends between 1 April 2017 to 29 June 2017, this is extended to 30 June 2018.

Where an interest restriction is due, a full return is required, containing the required calculations and allocations of restrictions to UK group companies. If there is no interest restriction, an abbreviated return can be made; this identifies the group members but does not contain calculations. Templates are available on the above webpage.

Software developers can develop their own products, either to populate similar templates or create a bespoke return form providing the necessary information. The information should be presented in the same order as in the HMRC template. A small level of manual input is needed on the electronic form which forms part of the return..