The Regulations amend the Corporation Tax (Instalment Payments) Regulations 1998 (S.I. 1998/3175) (“the Principal Regulations”) to provide for new instalment dates in respect of very large companies and related matters. By regulation 1(2), the Regulations have effect in relation to accounting periods beginning on or after 1st April 2019.

By regulation 3, new definitions are inserted into regulation 2 of the Principal Regulations, including a substituted definition of “large company” and a new definition of “very large company”.

By regulation 4, regulation 3 of the Principal Regulations is substituted by a new regulation 3 which defines large and very large companies. A new regulation 3A is also inserted to provide that those companies which pay the bank levy are either large companies or very large companies. In consequence, a company may be a large company or a very large company by virtue of regulation 3 or (if it pays the bank levy) by regulation 3A.

Regulation 5 inserts new regulations 5AZA, 5AZB and 5AZC into the Principal Regulations. Regulation 5AZA provides for the instalment dates for very large companies, except in respect of amounts falling with regulation 5AZC or 5A. Regulation 5AZB provides for the amounts of a very large company’s liability for an accounting period which are payable on the dates provided by regulation 5AZA.Regulation 5AZC provides for a very large company’s liability for the bank levy for an accounting period to be payable in accordance with regulation 5 of the Principal Regulations, subject to modifications.

Regulation 6 amends regulation 5A of the Principal Regulations in respect of very large companies. Regulation 7 amends cross-references in regulation 5B of the Principal Regulations.

Regulation 8 amends regulation 6 of the Principal Regulations in respect of repayments and very large companies and omits references to regulations of the Principal Regulations in consequence of the revocation made by regulation 16.

Regulations 9 to 11 amend respectively regulations 7 to 9 of the Principal Regulations. The amendments made are that references to very large companies are inserted and references to regulations of the Principal Regulations are omitted in consequence of the revocation made by regulation 16.

Regulations 12, 14 and 15 amend respectively regulations 10, 11 and 13 of the Principal Regulations. The amendments made are that references to regulations of the Principal Regulations are omitted in consequence of the revocation made by regulation 16.

Regulation 13 amends the title to regulation 10A of the Principal Regulations such that it more accurately describes the content of that regulation.

Regulation 16 revokes regulations 4, 4A, 4B, 4C and 4D of the Principal Regulations which no longer have effect.

A Tax Information and Impact Note covering this instrument was published on 2nd December 2015. This has been updated as a result of changes to the impacts as a result of this instrument, and will be available on the website at https://www.gov.uk/government/collections/tax-information-and-impact-notes-tiins.