I formed a company on 25 February and received my unique taxpayer reference number. Do I register for corporation tax within three months of forming the company, or is it within three months of starting to trade? I haven't done any sort of trading yet.
Arthur Weller replies:
HMRC state at www.gov.uk/limited-company-formation/set-up-your-company-for-corporation-tax that within three months of starting to trade you need to register for corporation tax. See www.gov.uk/guidance/corporation-tax-trading-and-non-trading for what is called starting to do business. It includes buying, selling, advertising, renting a property and employing someone.
This question was first printed in Business Tax Insider in October 2019.