S schedule - Group payments on account

Background

This schedule is used to develop a projected 12 month period following the current period for all companies ultimately to be included within the group payment on account arrangements. For example, a projected period for the year ended 31 December 1999 will be developed from a current year accounting period ended 31 December 1998.

Determining the companies to be included on the schedule

All companies linked to the group module will initially flow through to the S schedule.

The user should then review the companies listed on the schedule and determine which companies should be included within the group payments on account arrangements.

This can be done from selector in the Include in group payments column. There are three possible selections:

·Yes will cause the company's tax liability to be included in the total for the Group payment arrangements as shown on schedule S.

·If No is selected, the company's tax liability will not be included within the total amount payable under the group's payment arrangement as shown on schedule S. However, the company's net profit and tax liability will still be shown on this schedule. This option should be selected, for example, where a company is not within the group arrangements but has either claimed or surrendered losses or ACT from other companies within the group.

·The Suppress option will remove the company from the S schedule altogether, along with net profit and any tax liability. This will apply to companies not within the group payment arrangements and which have neither claimed nor surrendered any losses or ACT.

Note: Any company which is not set to Yes will automatically appear on theS2 schedule (Companies outside group payment arrangements).

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Developing the schedule

This schedule is developed by selecting Develop, Group payments on account from the A schedule (Group summary).

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Completing the schedule

The schedule is described in more detail below:

Companies with underlying 'S' schedules developed

The software will automatically show the latest estimate given on the underlying computation; however, the user can select to use any of the estimates.

Companies with no underlying 'S' schedules developed

The user should enter the relevant information on the three Override columns for Profits, DTR and ACT to the right of the table . In addition, the overrides can be used to replace figures from underlying companies with more up-to-date figures on the Group schedule.

Further information to be entered on the schedule

Any losses claimed or surrendered should be entered, together with DTR and ACT claimed from other group companies. Any losses claimed from companies within the group, which have not been included on the group module, should be entered on the Losses available for group relief reconciliation at the foot of the main table. In addition, any losses not available for relief can be adjusted for.

Cumulative amounts relating to income tax recoverable, tax due on Controlled Foreign Companies and so on can be entered in the data entry cells beneath the total liability.

Calculating the anticipated tax liability

The software will take the resulting group PCTCT figure to the S3 schedule (Group payments on account - workings) and calculate the anticipated tax liability for the projected period for the group based on the effective tax rate as shown on this table. On a company by company basis, the user can override this rate if necessary, for example, if the company starts or ceases to trade during the period.

Estimated group payments and final payment

The estimated group payments on account and final payment will be displayed below the Losses available for group relief reconciliation, alongside the due dates. By selecting both or company only on the selector underneath the Include in group payments column, the user can select to have the individual company's estimated payments on account and final payment displayed.

At the foot of the schedule, the user enters the date and amount of the actual payments made (or repayments received), which allows the software to calculate any under/overpayments on a cumulative basis.

Fixing the estimate

Once the figures entered on the 'S' schedule have been finalised, the user can preserve their workings by clicking on the 'Fix estimate' button. This will create a new working paper with a copy of the group payment on account schedule.

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Error	How to solve it
Date required	The date the payment was made has to be entered on this schedule in the software.

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How to use the Knowledgebase

S schedule - Group payments on account

Background

Developing the schedule

Completing the schedule

Standard sub-schedules

Carry forward

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