Cash flow issue: Can I pay into my pension after end business year?

M

mustang01

Registered User
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I’m a self-employed company director starting out with a PRSA. My business year ends next month but I won’t have the cash flow to make the contribution I need to offset last year’s corpo tax until a few months time. Can I backdate the contribution at this later stage for my business to avail of the required relief or will I miss the boat?
 
You miss the boat, sorry.

Pension contributions are deductible on a paid basis, not an accrued basis, so it’s when the company makes the payment.
 
Gordon Gekko said:
You miss the boat, sorry.

Pension contributions are deductible on a paid basis, not an accrued basis, so it’s when the company makes the payment.
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Gotcha. OK to write a cheque dated within biz year, but not send it to provider until funds available? Timing is all that’s against me!
 
If you have a business, you should have an overdraft facility.

Talk to your bank about getting this.

Brendan
 
mustang01 said:
Gotcha. OK to write a cheque dated within biz year, but not send it to provider until funds available? Timing is all that’s against me!
Click to expand...
Has been done on a number of occasions in the past but then insurance company employees used to sign missing signatures on proposal forms too. Compliance is just getting stricter and stricter these days. You may get a couple of days grace, but nothing more.
 
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