The latest version of the CT600 Corporation Tax Return requires companies to report CJRS furlough payments received and the amounts that the company was entitled to during the period. Where any overpayments have already been disclosed to HMRC that amount should also be reported. If the company has overclaimed “Eat Out to Help Out” grants, that amount should be reported too.

The total amount overclaimed should then be entered in box 526. This amount will be assessed to income tax, not corporation tax. HMRC will write to companies with the reference number and details of how to repay the overclaimed amount.