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Community Interest Company and what is trading

EllabobbinEllabobbin Feels At HomeRegistered Posts: 92
Hello All,

After many hours trawling HMRC/Accounting Web etc, I am hoping someone can help me... Or at least point me in the right direction...

I have a CIC as a client, now everything I read tells me that a CIC is liable to CT on it's profits, no special exemptions.... But the previous accountant has not charged any profits to tax...

My only thought is that their 'profits' are not trading profits.

The company in question is a gymnastics academy - parents are invoiced termly and so it's not a members only subscription - and turnover is in excess of £30,000 and so is too big to come under the CASC exemption. I've looked at the mutual trading information but it doesn't seem to fall within that either...

Any ideas???

Thanking you all in advance

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