Quote Originally Posted by Snoopy View Post
I was thinking that CEN could pay more provisional tax than they expect to use for this income year, then transfer any excess to last years terminal tax or the first installment of next years provisional tax. I could do that as a private person. But whether a company could do that, I am not sure.
You can but!

Can't transfer back as that tax is already paid (and distributed as ICs)
Can transfer if forward but then you don't pay any tax then so have no ICs to attach to next years div.

I am sure they modelled all scenarios and determined they are likely to have IC shortfall in future so have to take hit now (and maybe in future too).