Corporation Tax Calculator — Calculate Your Business Tax Liability

Corporation Tax Calculator

Calculate your corporation tax liability. Understand how profit, tax year, allowances, and deductions affect your business tax bill.

Step 1: Financial Details

Understanding Taxable Profit

Taxable profit is your company’s profit before tax, adjusted for tax purposes. It includes trading profits, investment income, and capital gains, minus allowable expenses and deductions.

Step 2: Tax Details

About Corporation Tax Rates

From April 2023, the main corporation tax rate is 25% for profits over £250,000. Profits up to £50,000 are taxed at 19%, with marginal relief applying to profits between £50,000 and £250,000.

Corporation Tax Results

Summary
Year Comparison
Tax Analysis

Total Corporation Tax Liability

£35,625
Effective Tax Rate: 23.75%
Taxable Profit
£150,000
Total Deductions
£7,000
Tax Before Credits
£35,625
Tax After Credits
£35,625

Corporation Tax Year Comparison

Tax Year Main Rate Small Profits Rate Marginal Relief Band Your Tax Liability

Tax Liability Breakdown

Corporation Tax Formula

Tax Liability = (Taxable Profit – Allowances – Deductions) × Tax Rate – Tax Credits

Corporation tax is calculated on your company’s taxable profits after deducting allowable expenses, capital allowances, and other deductions. Different tax rates apply depending on your profit level.

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