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If your business is presently not operating, investing or continuing company tasks, HMRC considers it inactive for corporation tax return objectives. In these circumstances, your business is immune for corporation tax and not needed to submit a business tax return.

In many cases, an inactive firm might still be responsible for corporation tax if HMRC sends out a 'Notification to supply a business tax return'. It could put on a recently operating that comes to be inactive throughout its corporation tax bookkeeping duration. If this occurs, you just submit a tax return within a year of the completion of your tax return duration.

A limited business that is inactive ought to notify HMRC when it does end up operating fully. You have 3 months from the beginning of the tax return accountancy duration to let HMRC recognise it is active, and also this could be conveniently done utilising HMRC's on-line enrollment solution or by offering the pertinent details in creating.

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