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This topic provides information on the Groups and Consortium (CT600C) data screen in IRIS Business Tax.
Entries made in IRIS Business Tax prior to the 10.7 version of the software will be shown as (LEGACY) entries. Any previous entries that are no longer required due to the automation of Group and Consortium must be removed to ensure no duplication of information. For further information please see section 5. (LEGACY) of this reference guide.
To access this screen select Data Entry | Groups and Consortium (CT600C)
Use this screen to enter details of each claimant / surrendering company to appear in the CT600C. IRIS Business Tax allows the linking of any IRIS practice client (limited company) within a group so that the allocation of losses can be performed in a single screen. Additional validation is used to ensure that allocation of losses is appropriate for the companies within the group. Each company in the group is then also automatically updated and the Corporation Tax computation and CT600C are also completed.
Select the Corporation Tax accounting period to which the return relates.
In order to include information regarding the surrendering / claimant company the Group company details section must be completed.
Where the client selected in the main toolbar is part of a Group Client and has also been created within IRIS the radio button will be set to Is a group client by default, otherwise this option will be disabled.
Click the Client magnifying glass to select the client; this will display the parent and subsidiary client(s) within the Group Companies window.
To select a limited company client that is already setup in the IRIS database, select the Is a client of the practice option and then click the Client magnifying glass to select the client; this will display the Client Browser screen.
To setup a business that is not an IRIS client select the Is another business option, this will disable the options for Client as well as the Account period end date and the Corporation Tax Accounting Period fields.
Click the Non client magnifying
glass to display the Businesses Who Are
Not Clients window. This screen displays a list of all businesses
who are not a client (with an identifier) within the database.
Where a Is another business client has been selected the following fields can be amended within the Groups and consortium (CT600C) screen:
Name of surrendering / claimant company
Account period start date / Account period end date
Tax Reference
If you have selected a company using either of the options for Is a group client or Is a client of the practice you must also complete the Account period end date and the Corporation Tax Accounting Period fields. Once these fields have been completed the Add button will be enabled.
Where Is another business has been selected and the Non Client has been specified the Add option will be enabled.
Step 1 - Allocation of Group Relief
Step 2 - Surrender as Group Relief
Step 3 - EUFT Claim
Step 4 - EUFT Surrendered
Step 5 - Legacy
To allocate the surrendered losses from the surrendering company, click the magnifying glass in the Amount field for the surrendering company.
This will display the loss allocation window for the claimant company. Use this screen to allocate the losses from the surrendering company to the claimant company.
IRIS will perform validation for both the surrendering company and the claimant company to ensure that the losses being surrendered are not greater than the available losses for the CTAP. Where IRIS detects that the loss surrendered / claimed is not valid a warning message will be displayed with the appropriate information.
The first column lists the relief headings from the CT600C 2: Amounts surrendered as group relief.
The Profit / Loss will display the net trading profit /loss for the selected IRIS database client(s)
Trading losses
Excess non-trade capital allowances over income from which they are primarily deductible
Excess non-trading deficit on loan relationships
Non-trading losses on intangible fixed assets
Excess charges over profits
Excess of Schedule A losses over profits
Excess of management expenses over profits
The second column will display the information for the claimant company; including the Net trading profit and any loss relief which has been allocated to it from any surrendering company.
To add / edit the split of the loss relief allocated to the claimant company select the surrendering company in the main Groups and Consortium (CT600C) screen and click
the magnifying glass in the Amount field for the surrendering company. Enter the amount(s) into the selected column.
Box C1 will automatically be completed by the system and entered in box 36 on the CT600.
The details for the IRIS claimant company and the IRIS surrendering companies will be simultaneously updated.
If there are any further surrendering companies you must repeat this process.
Select C1B if the trade carried on in the UK through a Permanent Establishment.
Select C1C if the company is a non-resident company other than those covered by C1B.
Complete the details in this section if a simplified arrangement is in force, or if a copy of consent for each surrendering company is to be attached tick the box Notice of consent to be attached.
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Use this tab to enter details to appear in Part 2 of the CT600C.
If this tab is being completed, IRIS Business Tax will verify that the
client in the main toolbar is the surrendering
company, the details for the claimant
company should therefore be added so that the appropriate loss
allocation can be specified and updated between all group companies.
To allocate the surrendered losses to the claimant company, click the magnifying glass in the Amount field for the claimant company.
This will display the loss allocation window for the surrendering company. Use this screen to allocate the losses from the surrendering company.
IRIS will perform validation for both the claimant company and surrendering company to ensure that the losses being surrendered are not greater than the available losses for the CTAP. Where IRIS detects that the loss surrendered / claimed is not valid a warning message will be displayed with the appropriate information.
The first column lists the relief headings from the CT600C 2: Amounts surrendered as group relief.
The Profit / Loss will display the net trading profit / loss for the selected IRIS database client(s).
Trading losses
Excess non-trade capital allowances over income from which they are primarily deductible
Excess non-trading deficit on loan relationships
Non-trading losses on intangible fixed assets
Excess charges over profits
Excess of Schedule A losses over profits
Excess of management expenses over profits
The second column will display the information for the surrendering company; including the Net trading loss and any loss relief which it has surrendered to the claiming company.
To add / edit the split of the loss relief allocated to the claimant company select the claiming company in the main Groups and Consortium (CT600C) screen and click the magnifying glass in the Amount field for the claimant company.
Box C2 will automatically be completed by the system.
The details for the IRIS surrendering company and the IRIS claimant companies will be simultaneously updated.
If there are any further claimant companies you must repeat this process.
Complete the details in this section if a simplified arrangement is in force, or if a copy of consent for each surrendering company is to be attached tick the box ‘Notice of consent to be attached’.
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Use this tab to enter details to appear in Part 3 of the CT600C.
The amount claimed must be entered into the Amount field for the surrendering company.
Box C3 will be completed automatically by the system.
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Use this tab to enter details to appear in Part 4 of the CT600C.
The amount surrendered must be entered into the Amount field for the claimant company.
Box C4 will be completed automatically by the system
Select the Use as notice of consent to surrender option and complete the Name and Status fields, or if a copy of consent for each surrendering company is to be attached, select the Notice of consent to be attached option.
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Where IRIS Business Tax detects two or more claimant companies in the Surrender as Group Relief tab and as part of the automation Group Relief process the following warning message will be displayed:
The claimant companies will be denoted by (LEGACY) in the claimant company's name under the Surrender as Group Relief Tab.
You will be required to verify the allocation of losses for each claimant company and IRIS Business Tax will not permit you to add a new claimant company until you have verified the legacy allocation of loss relief by clicking the magnifying glass for each (LEGACY) claimant company.
Once this information has been updated the (LEGACY) tag will automatically be removed.