The corporation tax rates and business allowances in the United Kindgdom are updated annually with new tax tables published by HMRC. The Tax tables below include the tax rates, thresholds and allowances included in the United Kindgdom Salary Calculator 2019 which is designed for salary calculation and comparison.
|Tax Rate||Profit Threshold|
|19%||Profits from £0.00||and above|
Corporation Tax is a direct tax that is applied against companies that operate in the UK, this includes corporations, limited companies, limited company contractors etc. If a company is based in the UK it pays corporation tax on all its profits from within the UK and abroad. If a company is based outside the UK but has a branch or office in the UK it must pay corporation tax on all profits from UK business activities.
Corporation Tax in 2019 is calculated based on the profits that fall within the 2019 tax year. 2019 Corporation tax is applied against those profits using the standard rate of corporation tax in 2019.
It is important to note that the corporation tax rate applies across the tax ear as defined by HMRC (April 1st 2019 to March 31st 2020, not a companies financial year which is most often different to the UK Tax Year. When a companies financial year bridges two tax years, the profits must be broken down into two separate tax periods and the appropriate corporation tax rate and thresholds applied on a pro-rata basis
Taxes, including corporation tax, expenses and limitations are reviewed by the Government in the United Kindgdom periodically and typically updated each year. Note that not all tax rates and thresholds in the United Kindgdom change annually, alterations to tax policy to support strategic economic growth in the United Kindgdom mean that the certain areas may be focused on to provide specific tax relief in the United Kindgdom or support growth in certain areas (overseas investment in the United Kindgdom for example may mean reduced non-resident income tax rates in the United Kindgdom for a period). Corporation tax is administered by Her Majesties Revenue and customs (HMRC) who promulgate updates to corporation tax and other taxes as policies are altered and tax laws change.
When tax policy in the United Kindgdom changes, the resultant tax tables also change, HMRC then publishes new Tax tables and information on changes to UK tax law and computations. Tax tables in the United Kindgdom are simply a list of the relevent tax rates, fixed amounts and / or thresholds used in the computation of tax in the United Kindgdom, the United Kindgdom tax tables also include specific notes and guidance on the validity of scenarios (for example, qualifying criteria for specific tax relief / allowances) and notes of the calculation of phaseout of specific tax elements within each taxation group (dividends and corporation tax thresholds in the United Kindgdom for example).
The United Kindgdom Corporation Tax Tables may also be referred to as the United Kindgdom Tax Slabs, United Kindgdom business allowances and tax thresholds or United Kindgdom business tax rates. They all refer to the tax tables in general, whether in whole or as specific sections/categories of the tax tables therein. In this section, we publish all 2019 tax rates and thresholds used within the 2019 United Kindgdom Corporation Tax Calculator. This means that if you are aware of a 2019 business tax exemptions or 2019 business tax allowance in the United Kindgdom that your business is entitled too BUT it isn't listed here, that we don't allow for it in this version of the United Kindgdom Corporation Tax Calculator. Our aim is to keep corporate tax calculations in the United Kindgdom simple, we achieve this my making the United Kindgdom business tax calculators relevent to UK Businesses. In addition to our simple corporation tax calculators and tax comparison calculators, we also provide detailed tax calculators which use the full tax tables and allowances so you have the choice of tools to suit your tax calculation needs, whether an employee, an employer, contractor or expat, we have a payroll and tax calculator to suit your needs.
Choose a specific tax year to see the United Kindgdom corporation tax rates and business allowances used in the associated business tax calculators for the same tax year.