After multiple policy U-turns and much uncertainty, the main rate of corporation tax will rise from 19% to 25% from 1 April 2023, affecting companies with profits of £250,000 and above.

The legislation provides that small companies with profits up to £50,000 will continue to pay corporation tax at 19%, with profits between the two limits being subject to a tapered rate.

All UK companies must pay corporation tax on the profits they generate, while the profits of non-incorporated businesses, such as sole traders and partnerships, are taxed via self-assessment.

In our latest guide, we’ll highlight some areas to consider.

You can download the full guide here

For more information, please see our latest guide. Our guide gives helpful guidance on:

  • Context around the measure
  • New rates and thresholds
  • How the taper will work
  • Mitigating Corporation Tax
  • What is the marginal relief fraction?

 

You can download the full guide here

 

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Any questions?

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