Corporation Tax is charged on the profits of a company and is paid annually 9 months after the end of the accounting period to which it relates. Although where a company has annual taxable profits of £1.5m or more then the quarterly payment regime will be relevant. The main rate is 21% although most companies pay Corporation Tax at the small companies rate of 20%.
Non-resident companies pay Corporation Tax on profits arising from trade carried on in the UK if they trade in the UK through a branch or agency.
Corporation Tax is always paid on profits (with various adjustments) prepared on an accruals basis and not on a cash basis.
Planning for corporate tax liabilities
Our business advisors and accountants help our clients understand and mitigate their corporate tax responsibilities. This is a standard part of our accountancy service. Call us today