corporation tax & rates
What is Corporation Tax & How we can help,
Our team at MF Accountants is dedicated to providing exceptional Corporation tax preparation and submissions services. Comprised of experienced professionals, we offer a comprehensive range of solutions tailored to meet the diverse needs of our clients. Our commitment to accuracy, integrity, and personalized service ensures that your financial goals are in capable hands.
Corporation tax is the main tax that a limited company must pay. Corporation tax must be paid on company's profit and will pay capital gain tax on selling any assets (e.g. land, property)
Sole traders and partnerships don’t pay corporation tax, but instead pay income tax (on business profits) and capital gain tax (on any gain from the sale of assets).
The directors and shareholders of the company are responsible for ensuring that you pay the right amount of tax, so you must keep accurate company accounts and file a Company Tax Return (CT600) before deadline.
What is the corporation tax rate?
Your company will pay corporation tax at the rates that applied in it's accounting period for corporation tax – that is, the money it makes in that accounting period, minus any overheads and expenses.
The rate of corporation tax may change from time to time (it used to be higher) so you must ensure that you pay the correct rate that applies for your accounting period.
You can check the dates of your accounting period on your financial statements,
The latest corporation tax rates are as follows:
- Profits of £250,000 or more - Main rate of 25%
- Profits of £50,000 or less - Small profits rate of 19%
If your profits were between £50,000 and £250,000 you may be entitled to marginal relief.
Details about how to claim marginal relief and calculator can be found on