The Treasury Committee of the House of Commons issued a call for evidence on Tax After Coronavirus (TACs) shortly before the summer recess, with submission requested by 28 August 2020. I have on behalf of Tax Research LLP, and the Tax After Coronavirus (TACs) project that it runs, submitted evidence in response to that call.
That submission is here. Since the whole submission is 13,000 words it is not possible to summarise it all in a post.
Jon Davis says:
August 28 2020 at 9:36 am
From your summary.
“the UK should consider removing the exception from filing a corporation tax return provided to companies who claim to trade only outside the UK.”
You’ve misunderstood this issue. There is no exemption from filing a UK tax return for a UK company which trades only outside the UK.
I suspect you vaguely half-remember the possibility of a UK company electing to exempt profits (and losses) of foreign branches and you’ve become confused by it. That exemption doesn’t mean the company doesn’t need to file a corporation tax return, it still does. I hope you haven’t gone in to too much detail on this in your report, it will make it look like you don’t really understand what you are talking about.
I can imagine someone at HMRC saying “What’s he on about? There is no exemption. He’s suggesting rule changes and doesn’t even know what the rules are!”