[logo] Inland Revenue CLAIMS BRANCH
Magdalen House Stanley Precinct Bootle Lancs L69 9BB
Telephone 051-922 8711 ext 2734
To: Mr G A Cass
Cambridge University Press
Pitt Building
Trumpington Street
CAMBRIDGE
CB2 1RP
My reference X36122/HAM
Date 3 December 1976
Dear Mr Cass
CAMRIDGE UNIVERSITY PRESS
With reference to the letter dated 9 November from Policy Division and further to our telephone conversation last week, I am now writing to confirm that it is accepted that Section 360(1)(e) ICTA 1970 exemption is available to the Syndics in respect of the profits from the printing and publishing trades to the extent that such profits are in fact applied solely to the purposes of the charity.
I am accordingly arranging for the estimated further assessment for 1972 issued by Cambridge 1 District in 1974 to be cancelled and there should be no need for any assessments in respect of 1973 and subsequent accounting periods. Liability to account under Schedule 20 FA 1972 for any tax deducted by the Press will of course continue and will remain the responsibility of the local Collector and Inspector.
As far as repayment of tax is concerned, this will be dealt with by this Office and I am accordingly enclosing a form R68 to enable you to make a repayment claim in respect of the Corporation Tax paid for all years in date. The appropriate section of the form is 1C although I think there is also a small amount of dividend income derived from the Iron Trades Employers Insurance Association Ltd which should be entered in Section 1A. (According to information contained in the forms CT61, which you have completed over the years, up to April 1973 the tax suffered was claimed by way of credit against the tax paid to the Collector in respect of the Schedule 20 liability, but since April 1973 there have been 3 payments totalling a gross £90.53 on which tax has been suffered).
Will you please let me have the claim together with the dividend vouchers (in this connection you may of course also claim for any 1976 income) and such Collectors' receipts as are immediately available in respect of the tax paid on the profits.
If my assumption that the only taxed income is the small dividend from the Insurance Association is correct, it will not be necessary for you to render acccunts to me in future years, although annual accounts should continue to be sent to the local Inspector so that he can make the necessary checks of such matters as the Schedule 20 liability. Incidentally, as far as this latter aspect is concerned, I understand that you are now arranging to set-off any tax deducted from loan interest and the like against the tax payable to the Collector. If this continues, the only repayment to be claimed from this Office will be the tax credit in respect of the annual dividend.
In view of the time limit imposed by Section 42 TMA 1970, the status of the Press as a company for taxation purposes and the fact that your accounting date is 31 December, I would suggest that the claim should be formulated and returned to me before the end of the month.
Yours sincerely
H A Marsh
HM Inspector of Taxes