On 24 March 2020, the National Revenue Agency published clarifications on the advance corporate income tax (CIT) instalments regime for 2020 which is part of the COVID-19 emergency tax measures promulgated in the State Gazette and published on 23 March 2020 (the official publication date is 24 March 2020). An overview of the clarifications that concern taxable persons who meet the criteria for payment of advance CIT instalments under the Corporate Income Tax Act (CITA) is set out below.
- Where the annual CIT return for 2019 is filed by 15 April 2020, the advance CIT instalments for 2020 shall be made in the amount declared.
- Where the annual CIT return for 2019 has not been filed by 15 April 2020, the advance CIT instalments must be declared by that date with the annual CIT return of which only the part relating to the declaration of advance CIT instalments for 2020 has to be completed. When, subsequently, by 30 June 2020, these persons file their CIT return for 2019, they will not complete the part relating to the declaration of advance CIT instalments for 2020.
For filings after 15 April 2020, adjustments (reduction or increase) of the advance CIT instalments declared with the annual CIT return for 2019 will be made with the declaration under Art. 88 of CIT Act. The adjustments of the advance payments made with the declaration under Art. 88 of the CITA will be used after the filing of the declaration.