Guidance: Make a qualifying asset holding company (QAHC) notification to HMRC

Investors in a qualifying asset holding company (QAHC) will get a similar tax outcome to that from investing in the underlying assets of the QAHC. A QAHC will be taxed on profits relating to the activities it performs.

To enter the QAHC regime a company must meet certain eligibility criteria.

Over the life of a QAHC you’ll need to:

• make an entry notification — before a company can enter the regime
• make a QAHC information return — an annual requirement that is separate to the company tax return

You may also need to tell us if other events occur, such as breaches of eligibility criteria.

If you are still unsure if your company meets the required conditions, you can contact the HMRC QAHC team.

You may wish to submit a non-statutory clearance application.

The following notice has force of law.

Requirement to make notifications and returns by link provided in this page (FA22/SCH2/PARA57)

HMRC requires that notifications and the QAHC information return should be made electronically, using the link provided on this page. If any of the notifications detailed on this page are made by any other means, then they will not be accepted by HMRC as valid. $CTA

If you choose to enter the QAHC regime

You must meet all required eligibility criteria to become a QAHC.

To make an entry notification you’ll need the following information:

• company name
• unique taxpayer reference (UTR) of the company
• date of entry — this must be after the date that you make the entry notification
• a declaration that the company will meet all the required eligibility conditions at date of entry — you’ll need a different declaration if you do not meet the ownership condition

If the company is not UK resident when making the notification, you’ll need the:

• territory of current residence
• company registration number
• date the company intends to become UK resident — this must be no earlier than the date of entry

If you do not meet the ownership condition

You’ll need to make a different declaration as part of your entry notification. You must declare that the company:

• will meet all the required eligibility criteria at date of entry, except for the ownership condition
• reasonably expects to meet the ownership condition within the first 2 years of the date of entry

You can check further information on eligibility criteria.

Preparing to make a QAHC information return

At the end of each accounting period, you must make a notification with the following information:

• name of company
• unique taxpayer reference (UTR) of the company
• the name, address and UTR of the person who has provided investment management services to the QAHC during the accounting period — if a partnership provided the services, state the partnership information rather than any particular partner’s information
• an estimate of the total market value of the assets of the QAHC’s ring fence business at the end of that accounting period
• the total gross proceeds from disposals of assets from the ring fence business during the accounting period
• the amounts of any payments made by the QAHC on the redemption, repayment or purchase of its own shares

This notification is separate and in addition to the company tax return that a company is required to make.

Penalties

If you do not make the QAHC information return by the due date, your company is liable to a fixed penalty of £300. The due date is the filing date for the company tax return for the relevant accounting period.

Other notifications you might need to make

After entering the regime for the first time you’ll need to continue to make notifications for other circumstances, these are where:

• the ownership condition has been breached within the first 2 years
• there is no longer the likelihood of meeting the ownership condition within the first 2 years
• one of the eligibility conditions has been breached and the QAHC has exited the regime
• the activity condition has been breached and you wish the QAHC to enter a cure period
• the ownership condition has been breached and you wish the QAHC to enter a cure period
• the ownership condition has been breached and you wish the QAHC to enter a wind-down period
• the QAHC has entered a wind-down period and subsequently acquires assets or raises capital
• you wish the QAHC to voluntarily exit the regime

You can check the notes for completing notifications for the qualifying asset holding company (QAHC) regime for more information on what you’ll need to do.

Make a notification

You can use this form to make an entry notification and any of the other notifications that are required as a QAHC.

When you make a notification you will be asked to sign in using either your Government Gateway user ID and password. If you do not have one, you can create this when you use the service.

Or you can use your email address to enter the service.

Make a notification

What happens next

You’ll get confirmation that you have made you have made a notification.

You should also check more detailed information on the eligibility criteria and what you’ll need to do before making a notification.

If you are still unsure if your company meets the required conditions, you can email the HMRC QAHC team: qahc@hmrc.gov.uk or phone 03000 515900.

You can also write to us at: