Error: values of Boxes 875, 530, 142 and L20 in CT600 with Research and Development claim in Corporation Tax
Corporation Tax
Scenario
You might get the following errors when you try to file a CT600 with a Research and Development (R&D) claim.
Error messages
Box 875 must only be completed if Box 142 equals 'yes'
Box 875 must not be greater than Box L180
Box 530 must only be completed if Box 142 equals 'yes'
Box 530 must equal Box L210
Causes
From 1 April 2021, HMRC's form validation looks for the supplementary page CT600L, where there is an R&D claim. Although this is a new supplementary form, it makes up part of the Version 3 set of forms, which means it can be used for any accounting periods starting on or after 1 April 2015, and so the validation also applies to these periods.
If you file a CT600 which includes either of the following you may encounter an error as a result of a restriction of the HMRC Corporation Tax online service:
- Previous years carried forward under CTA2009 s104N(2), step 3, (included in box L50) where the step balance is carried forward to step 2
- An amount carried forward under CTA2009, s104N(2), step 2, from a previous accounting period, that has not been fully set against the CT liability for this period (included in box L20)
Solution
We recommend that you wait for the updates to Corporation Tax and to HMRC Corporation Tax online:
- From version 21.0, Corporation Tax will include form CT600L (expected May/June 2021) and Corporation Tax Advanced will be updated shortly after.
- HMRC aim to update its filing service by 31 May 2021 and advise users to wait until then to file the affected returns.
If you urgently need to file an original return you can take the following steps:
- Remove the R&D claim.
- File the return online with the accounts attachment as normal.
- Once filed, add the R&D claim again and file the amendment on paper.
If you urgently need to file an amended return, you can file the amendment on paper.