UK and International Tax news
HMRC To Develop An API For CIR Purposes
Monday 14th September 2020
HMRC has announced that it is to develop an Application Programme Interface to assist with a new service which will allow companies to determine if group interest deductions need to be restricted.
Following feedback from users, HMRC is planning to develop an API to support the service which will allow companies to determine whether they need to restrict their group interest deductions and make a return to HMRC.
Corporate interest restrictions rules were introduced from 1 April 2017 and these can restrict a group’s deductions for interest expense and other financing costs for corporation tax purposes.
The API, which will operate alongside an improved user interface, is currently being developed with commercial software providers, in a controlled environment. The functionality being tested includes submissions of full and abbreviated returns, together with appointments and revocations of reporting companies.
HMRC plans to make the API available in December 2020 and to introduce mandatory electronic filing of CIR Returns in due course. The existing service will be available until mandatory electronic filing is introduced.
HMRC is now seeking views on the development of the API from interested parties which should be submitted by 9th October 2020.
If you would like more details on the above, please contact Keith Rushen on 0207 486 2378.Contact Us