Although academies so not seek to make a profit, it does not mean they can completely ignore Corporation Tax.
Once formed the academy needs to register with HMRC by completing form (ChA1). Support with this registration process is provided as part of our conversion support service.
Specialist advice from experts in the sector
There are a number of basic tax exemptions available to academies under the charity tax legislation. However, not all income streams are exempt, for example certain types of lettings. Where the amount of income from these non-exempt sources exceeds £50,000 in any accounting period then the academy will be required to calculate the taxable profit or loss from those combined sources and submit a Corporation Tax return. We can provide guidance on which of your income streams are non-exempt and establish whether a Corporation tax return is required.