Payments on Account

[ajb1983]

After a bit of advice on when a Company falls eligible for the payments on account scheme as I'm not finding HMRC's guidance particularly clear.

2008: Loss Making
2009: Trading Profit of Greater than £10m, PCTCT of zero due to brought forward losses
2010: Profit and PCTCT of greater than £10m expected (losses used up).

First question - when HRMC refer to "profits for an accounting period greater than £1.5m" do they mean trading profit or PCTCT?

Second question - assuming PCTCT then the Co above would be "small"for 2009, and then large for 2010. Is this correct?

Third question - HMRC also refers to the exemption of PoA for the first year a company is large "as long as the companies profits for the accounting period do not exceed an annual rate of £10m". In the example above, would the company not qualify for this exemption in 2010 because profits are expected to be greater than £10m? Say for example, profits for 2010 were expected to be £8m, then the PoA could be delayed to 2011 under this first year exemption?

[Incredulum]

1. "profits for an accounting period" = PCTCT. (Otherwise it wouldn't be just trading profits, but NTLRs, chargeable gains, D VI, Schedule A, etc. etc. etc.)

2. Yes

3. Yes