CORPORATION TAX PROFESSIONAL ENGLISH IN USE FOR LAW

 

PROFESSIONAL ENGLISH IN USE FOR LAW 26. CORPORATION TAX

 

A Corporation Tax liability in the UK Corporation Tax is the tax payable on a company’s income (for example from investment in shares) or gains (for example from the sale of assets) at the statutory rate. In this context ‘company’ is used to refer to the following, in addition to the more conventional meaning of the word: ·         Member’s clubs, societies and associations who might have trading activities or income from non-members, for example amateur sports clubs ·         Trade associations, for example the Association of British Travel Agents (ABTA), the regulatory body for British travel agents. All companies resident in the UK are subject to Corporation Tax on their profits in an accounting period. A non UK incorporated company may also be subject to Corporation Tax, if it is managed and controlled from within the UK. B Word combinations with ‘tax’   EXERCISES 26.1 Replace the underlined words and phrases with alternative words from A opposite. Pay attention to the grammatical context. There is more than one possibility for one of the answers. 1. Will you formally inform the Inland Revenue? 2. I believe it’s a business run by a group of owners who share the profits and the work. 3. The figure named is currently £1.5 million. 4.We’re going to be taxed on money received from sales of goods or services after costs have been deducted. 26.2 Complete this extract from an advisory email from a solicitor with word combinations from B opposite. Use each combination only once.     Dear Bertil, In answer to your query about UK tax liability, I’ve set out a brief outline below. The responsibility for the calculation of the tax due lies with the company. Tax is generally (1)_______ on the company’s total profits- including chargeable gains. A company must follow the special rules in calculating the tax due and, following this self-assessment, submit a Company Tax (2)_______ to the Inland Revenue together with the payment of tax (3)_______.

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