Corporation Tax

If you run a limited company, you will be liable for Corporation Tax, which is basically the company equivalent of personal income tax and is based on the profits your business makes. Corporation Tax is paid at a rate of 20% on profits up to £300,000  so this is an extremely tax-efficient way of ensuring you retain the maximum amount of your hard-earned money.


In addition to to limited companies formed in the UK, other groups or individuals could also be liable to pay corporation tax. These include...

  • Foreign companies with a permanent UK address
  • Sports, social and any other forms of clubs with members.
  • Trade, housing or any other type of associations.
  • Charities, including subsidiary trading companies.

If you are forming a limited company, it will be subject to Corporation Tax and you will therefore need to:

  • Tell HMRC that your company is liable for Corporation Tax
  • Pay the amount you owe correctly and on time to avoid late payment fines
  • Complete and file a Company Tax Return and supporting documents online.

It’s important to remember that the deadline to pay your Corporation Tax is before the deadline to file your Company Tax Return. You must pay what you owe by 9 months after the end of company accounting period and file your return by 12 months after the end of the accounting period.


TaxSmart Accounting can assist you with all of your company tax and accountancy needs, including the preparation of your annual company accounts, corporation tax return and tax computation. We can also advise you on any tax planning areas that may benefit you and your company, giving you peace of mind that your company is as running as tax efficiently as possible.

Please contact us today to arrange a free initial consultation, or alternatively call into one of our local offices and speak with a member of staff.

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9am - 5pm



105 Southbourne Grove





525 Ringwood Road


BH22 9AQ

Making an appointment

If you have any queries or wish to make an appointment



T:   01202 469086



T: 01202 895857

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