With effect for interest periods commencing on 6 February 1997, the rates of interest for the purposes of late paid or unpaid corporation tax are different from those for other taxes. From that date, the rate of interest on late paid or unpaid corporation tax will depend on the accounting period for which the tax is due and, under self-assessment, the nature of the tax due:
For accounting periods within the self-assessment regime (or CTSA – APs ending on or after 1 July 1999), these rates are distinct from those for periods before the start of self-assessment because the interest is an allowable deduction for tax purposes (see below).
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