Period greater than 18 months

If you attempt to create a Corporation Tax period of account that exceeds the normal Companies Act limit of 18 months, the software will display a warning informing you of this.

In exceptional circumstances, however, you may wish to create a period of account that exceeds 18 months. The software will not prohibit this (unless the period you attempt to create would exceed 24 months) and will calculate the relevant amounts - capital allowances, taxable profits and the tax charge - on a time-apportioned basis. The Fixed assets schedules will require details to be entered by period. You may be required to enter the password to create the file.

If creating a period of account that exceeds 18 months, you are advised to check that the circumstances permit this. You are also advised to review the file and calculations thoroughly. In particular, the software does not currently calculate all instalment payment dates and their associated tax liability for a second accounting period of greater than 6 months. Therefore, although the total corporation tax liability for such a period will be correctly calculated, interest calculations may not be accurate and should not be relied upon. For this reason, you may wish to change the Tax payments and interest schedule into a working paper so that it does not print.

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