The Big Question - One in ten not ready for CTSA
One in ten companies are unprepared for the start of corporate tax self-assessment (CTSA) despite the first deadline falling in less three weeks.
The findings emerged in this week’s The Big Question survey, carried out by Accountancy Age and Reed Accountancy Personnel.
CTSA, which will come into force on 14 February, requires companies to make quarterly payments on profits exceeding #1.5m. Tax experts have attacked CTSA for being overly complex, and fear it will disrupt companies’ cashflow.
Over 200 finance directors were asked whether their organisations were prepared for the requirements of CTSA. Three in four (77%) claimed to be ready for the new system.
Rod Ash, FD of office furniture manufacturer Flexiform, said: ‘We will have to be ready, but it is an unwelcome burden. We will allocate more staff to ensure we are ready for 14 February.’
But nearly 10% (17 FDs) admitted they were still unprepared for the heavily publicised CTSA.
One FD, who preferred to remain anonymous, said: ‘We are in discussion with our auditors but should be sorted by the year-end.’
‘No preparations have been made at all,’ added another candid FD.