Corporation Tax Act 2009 section 1155

Payment of tax credit

Section 1155 sets out the administrative rules governing how a land remediation tax credit is paid to a company, including how it can be set against corporation tax liabilities and the circumstances in which payment may be withheld.

• A land remediation tax credit, or interest on it, can be applied to discharge any corporation tax liability the company owes
• If HMRC is enquiring into the company's tax return for the period, payment of the credit can be withheld until the enquiry is completed, though HMRC may make a provisional payment
• No payment of the credit needs to be made if the company has outstanding PAYE or National Insurance Contributions liabilities for payment periods ending within the accounting period
• A payment period for PAYE and NIC purposes is a period ending on the 5th of a month for which the company must account to HMRC for income tax and national insurance