Taxpayers using HMRC’s corporation tax online service, and who are claiming marginal rate relief for financial year 2014 (FY14) or making a claim to Annual Investment Allowance (AIA) exceeding the pre-Budget AIA limit of £250,000, are advised to wait until HMRC have updated the service before submitting their company tax returns online say Harris & Co accountants Northampton
HMRC say their corporation tax online service will be updated with the new AIA changes and changes to the marginal relief standard fraction for FY14, by 31 July 2014. Those who have an urgent need to file their Company Tax Return before 31 July 2014 should contact their HMRC office for further advice.
Budget 2014 increased the maximum amount of AIA to £500,000 in relation to qualifying expenditure incurred from 1 April 2014 to 31 December 2015. The marginal relief standard fraction will be set to 1/400 for FY14.
Those who are neither claiming marginal rate relief for FY14, nor making a claim to AIA exceeding the earlier AIA limit can file online before the service is updated.