TTM05210 | The 75% limit on charters-in: How to calculate

From HM Revenue & Customs · Tonnage Tax Manual

Accounting periods of group companies

Same accounting period

Where all qualifying tonnage tax companies have the same accounting period the calculation will be done in respect of each shared accounting period.

Differing accounting periods

The position is rather more complicated if the companies in a group have different accounting periods. In such a case the test must be satisfied in respect of each period that can be defined by the accounting period of a company in the group. See the examples below.

References

Example 1: Deferment of election if test failed	TTM05220
Example 2: Possible exclusion for exceeding limit over 2-year period	TTM05230