The CT600H is the cross-border royalties supplementary page to the Company Tax Return. It lists royalties a company paid overseas without deducting tax, or deducting it at a reduced rate, because it reasonably believed the recipient was entitled to treaty relief.
Who completes it
A UK company, or the UK permanent establishment of a foreign company, that made cross-border royalty payments in the return period and reasonably believed the recipient would be entitled to treaty relief. A company that deducted tax at the full rate from every royalty it paid overseas does not file the page. Box 130 on the CT600 is ticked to say the page is attached.
What it asks for
One row for each recipient, giving:
- the recipient’s name and address and the type of royalty;
- the gross amount paid;
- the agreement under which relief was claimed: a Double Taxation Agreement or the Interest and Royalties Directive;
- the rate of tax deducted and the amount of tax deducted.
Nothing from the page is carried into the tax calculation. It is a report to HMRC of payments made.
In Tax Optimiser
Add each payment under Cross-border Royalties in the Corp Tax workspace. The tax deducted is worked out for you, and the CT600H is filed with the CT600.
Read more: CT600H and cross-border royalties.