Credit interest

Credit interest arises under the Quarterly Instalment Payment (QIP) provisions. It can arise on any company, not just a Quarterly Instalment payer. It can run at any time during the instalment period which is from the due date for the first quarterly instalment payment (or what that due date would be if the company were liable to make such payments) to the normal due date.

For a quarterly payer it runs for every day during the instalment period on which the amount of tax paid by the company exceeds the amount it was then required to pay under the QIP rules. For all other companies it runs on any tax paid during the instalment period.