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Trust

Corporation Tax rates

Rates for financial years starting on 1 April

 

2007

2008

2009

2010

Small Companies Rate*

20%*

21%*

21%*

To be advised

Small Companies Rate can be claimed by qualifying companies with profits at a rate not exceeding

£300,000

£300,000

£300,000

To be advised

Marginal Small Companies Relief Lower Limit

£300,000

£300,000

£300,000

To be advised

Marginal Small Companies Relief Upper Limit

£1,500,000

£1,500,000

£1,500,000

To be advised

Marginal Small Company Relief (MSCR) Fraction

1/40

7/400

7/400

To be advised

Main rate of Corporation Tax

30%

28%*

28%*

28%*

Special rate for unit trusts and open-ended investment companies

20%

20%

20%

To be advised

 

The main rate of Corporation Tax applies when profits (including ring fence profits) are at a rate exceeding £1,500,000, or where there is no claim to another rate, or where another rate does not apply.

 

* For companies with ring fence profits (income and gains from oil extraction activities or oil rights in the UK and UK Continental Shelf) these rates differ. The small companies' rate of tax on those profits is 19 per cent and the MSCR fraction is 11/400 for financial years starting 1 April 2007, 2008 and 2009. The main rate is 30 per cent for financial years starting on 1 April 2008 and 2009.

 

In his April 2009 Budget, the Chancellor announced that the main rate of Corporation Tax for the financial year beginning 1 April 2010 will be 28 per cent. The main rate of Corporation Tax for companies with ring fence profits will be 28 per cent.

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