How to record the deduction allowance claim in the CT600
There is no dedicated box labelled ‘deduction allowance’ showing the impact of applying the £5m deduction allowance and the 50% restriction and therefore this should be reflected in Box 155 (losses carried forward set against profits’
If you navigate to the main form, click on box 155 calculator
This opens up this screen:
Click on the trading losses summary
You can then enter the losses brought forward with detail restricting this to:
Total profits before losses
Deductions Allowance Used
Restricted losses calculation
Amount of losses actually used
Whilst the allowance itself does not have a specific box, the resulting relief figures are entered into the standard boxes in the deduction and relief section:
There should also be an ability to attach a CT computation, not just complete this box to show how it has been worked out, this should also include a statement that the company specifies that its deductions allowance for this period is £5,000,000 under Section 269ZZ CTA 2010