Corporation tax

Corporation tax rates and bands are as follows:

Financial year to	31 March 2011	31 March 2010
Taxable profits
First £300,000	21%	21%
Next £1,200,000	29.75%	29.75%
On profits over £1,500,000	28%	28%
Tax credit on dividends	10%	10%
Marginal relief fraction	7/400	7/400

Corporation tax payable

For small and medium sized companies

• Nine months and one day after the end of the accounting period

For large companies

• Instalments
  • The 14th day of the seventh, tenth, 13th and 16th months after the commencement of a 12 month accounting period
• Balance
  • Nine months and one day after the end of the accounting period

Did you know?

The revenue the Government are budgeting to generate from corporation tax this year amounts to £43.3 Billion (2009/10 - £36.5).

2011 and beyond

	Main rate	Small companies rate
Financial year to 31 March 2012	27%	20%
Financial year to 31 March 2013	26%	N/K
Financial year to 31 March 2014	25%	N/K
Financial year to 31 March 2015	24%	N/K

N/K = Not known