| Overview |
HMRC requires a separate Corporation Tax return for each 12-month period. Where a company's accounting period exceeds 12 months — for example on first incorporation or following a change of year end — two CT returns must be prepared: one for the first 12 months and one for the remainder.
BTCSoftware handles this automatically when you open the CT return from a long-period year-end accounts task.
| How to Prepare CT Returns for a Long Accounting Period |
- Prepare the year-end accounts for the full accounting period in BTCSoftware — covering the entire period exceeding 12 months.
- Generate the iXBRL file from the year-end accounts summary screen.
- On the year-end accounts summary screen, click Open CT Return.
- A pop-up window will appear asking you to choose between Long Period First or Short Period First. Click Long Period First.
- On the CT return top toolbar, click Edit Record.
- Click Open CT Comp & CT600.
- BTCSoftware automatically apportions the figures from the accounts between the two periods — turnover, profit or loss, and other financial statement figures are split between the long period and short period returns.
- The CT Calculation page is populated with the apportioned Turnover from Trade or Profession and Profit/Loss per accounts.
- Manually enter any add-backs, disallowable expenditure, and additional schedules for the long period return — such as capital allowances or R&D claims.
- Click Check and Generate iXBRL File for the long period return.
- Once the long period return is complete, open the CT return for the short period and complete it following the same steps.
| ✔ Tip: Capital allowances must be calculated and entered separately for each period — they are not automatically apportioned. Review the apportioned figures carefully before submitting either return. |
| ⚠ Important: Both CT returns must be submitted to HMRC separately. Submit the long period return first, then the short period return. Do not combine them into a single submission. |
| Frequently Asked Questions |
Q: Does BTCSoftware automatically split the capital allowances between the two periods?
A: No. Capital allowances must be entered manually for each period. The software apportions trading figures but capital allowance calculations are entered separately in each CT return's capital allowances section.
Q: Which period do I submit first?
A: Submit the long period (first 12 months) first, then the short period (the remainder).
Q: How do I know the accounts are correctly apportioned between the two periods?
A: Review the CT Calculation page for each period after BTCSoftware has applied the apportionment. The figures should reflect the respective time period's share of the annual totals.