Evening all
a technical question ... our council made us all become Ltd Companies in 2020.... we were told we only had to file with Companies house.
Now however we're being told we should be filing a tax return - which we can do though it will put people off become treasurer ....
but now there is a question brought up in the sites meeting where a rep who is an accountant mentioned Corporation tax... we're a large site so we have quite a few thousand come in each yr as rent and all of it goes on maintenance, costs and banking some for future projects like rebuilding the toilets..we have a balance of probably £4k this year.. various people tell me different things. One chap an accountant regulator on the plot says we are liable, someone else who runs a LTD Co says as we are not trading and employ no one and all monies goes back into site then we shouldn't be considered as an active co for corporation tax purposes........ there is a council site meeting this week but I suspect they are as at sea as I am.... we are not an association, or a club or a charity nor council run though we pay rent via the bridging company to the council..... anyone been in this situation and solved it?
I'm still awaiting the arbitration committee to give us their judgement on the 10 yr plot holder who doesn't understand "active cultivation" .... who said allotments were boring!!
