The Full Form of GRPT is‍ GROUP PAYMENT.

Group Payment Arrangements can reduce the administration associated with making a large number of individual payments. It might also reduce the overall interest charges that the group needs to pay.

Only certain groups will qualify for Group Payment Arrangements, and to make one, you need to complete a legal agreement. Your payments must also meet certain conditions.

Companies that can enter a Group Payment Arrangement are a parent company and its 51% subsidiaries (any companies of which it is the beneficial owner of more than 50% of the ordinary share capital). The 51% subsidiaries of those subsidiaries, and so on, can also be included in the group.

This definition of a group for the purposes of Group Payment Arrangements is not necessarily the same as that used by HM Revenue and Customs (HMRC) in relation to other aspects of Corporation Tax or to other tax areas, or by other government departments and agencies.

A Group Payment Arrangement is an optional contract that you may be able to enter into with HMRC, if your company is a member of a group that meets the necessary conditions.

You don’t need to include all possible eligible companies in a Group Payment Arrangement, and you can have more than one arrangement to cover different sets of companies within the group. However, any one company can only be included within one Group Payment Arrangement for an accounting period.