Corporation tax

Corporation tax is a mandatory levy on your business profits. It’s a significant financial consideration, requiring compliance and effective tax planning, as it can impact the bottom line and overall profitability of your business.

When is Corporation Tax payable?

A corporation tax return must be submitted to HMRC within 12 months of your company's year-end. Even if your business has made a loss, and there is no corporation tax to be paid, you are still required to make the filing. It is worth noting that even though the corporation tax return, also known as CT600, doesn’t need to be filed until 12 months after the year-end, the actual payment to HMRC must be made within nine months after the end of your financial year. Failing to file the return will result in penalties and late payment normally attracts interest charges.

What makes us different?

As filing your corporation tax return is also your opportunity to claim any tax reliefs your business might be entitled to, we will work with you throughout the accounting year to establish which tax breaks you should be claiming. Once these have been identified and your corporation tax liability fully calculated, we will file your CT600 to HMRC together with all the necessary notes. Furthermore, in the event of HMRC having any queries with regards to the return, we will be there to support you during the process. We will always spend time with you to understand your business’s individual circumstances in order to minimise your tax liability and help you find the best way to structure your business for growth.

How is corporation tax calculated?

The amount of corporation tax payable is calculated based on the profit the business has made during the accounting period as per your annual accounts, after making necessary accounting year -end adjustments and deducting allowable reliefs and allowances. Businesses can also carry forward losses from previous years to offset against future profits.

Related Services

Capital Gains Tax (CGT)
Capital Gains Tax is a tax on any gain (profit) that you make as a result of selling or transferring an asset.
Self-assessment tax returns
Self-assessment is the mechanism for declaring annual income not already accounted for via either PAYE or gains on capital investments.
VAT
VAT is an indirect tax charged on most goods and services. If your business’s turnover exceeds the VAT threshold.

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