Knowledgebase Support HMRC Useful links
Knowledgebase home
Tax Return Production
Accounts Production
Practice Management
VAT Filer
CloudConnect
Anti-Money Laundering
Support home
Video Training Guides
NEW

Hot Topics
SimpleStep Guides
Release Notes
Technical
Known Issues

HMRC Status
Useful Links
MTD for Agents MTD for Businesses What is MTD
Preparation
Agent Services Account
MTD for VAT
MTD for Income Tax
MTD for VAT
Digital Record Keeping
Quarterly Updates
Step-by-step Guide
HMRC's MTD Timeline
TaxCalc's MTD Journey

Inputting trading and property income on a CT600

Article ID: 2281
Last updated: 22 Mar, 2016

Follow these steps to input trading and property income on a CT600 form:

  1. Enter the figure for Profit/(loss) on ordinary activities before taxation – this is the total of trading profit/(loss) and property profit/(loss).
  2. Enter Disallowable expenditure (Depreciation).
  3. Go to Tax adjusted profit/(loss) worksheet – other adjustments > Income from UK land and buildings.
  4. Select Yes for Do you wish to use this wizard to calculate the income?
  5. Enter Income from UK land and buildings – this is the rent received, before expenses.
  6. Enter Property income related expenses  this is the total expenses included in the profit/(loss) figure in Step 1.
  7. Enter Other capital allowances – this is any additional expenses not included in calculating the profit/(loss) figure.

Worked example

This example shows you how to complete a CT600 form using the following trading and property income figures:

  • Trading loss = £15,000
  • Disallowable expenditure (depreciation) = £250
  • Taxable trading loss = £15,000 - £250 = £14,750
  • Rent received = £5,000
  • Rental expenses = £2,500
  • Capital allowances/other expenses = £1,000
  • Taxable property income = £2,500 - £1,000 = £1,500

Calculate and enter the following figures (see diagram):

  • Profit/(loss) on ordinary activities before taxation = £(15,000) + £5,000 - £2,500 = £(12,500)
  • Disallowable expenditure (Depreciation) = £250

Go to Tax adjusted profit/(loss) worksheet – other adjustments > Income from UK land and buildings and enter the following figures (see diagram):

  • Income from UK land and buildings = £5,000
  • Property income related expenses = £2,500
  • Other capital allowances = £1,000

Note: If you enter Income from UK land and buildings net of expenses (that is, as £5,000 - £2,500 = £2,500), then you don’t need to enter Property income related expenses.

Article ID: 2281
Last updated: 22 Mar, 2016
Revision: 10
Views: 8354
This article was:  


Also listed in
folder Tax Return Production -> CT600 Corporation Tax Return