Corporation Tax rates, expenses and reliefs
Allowances and reliefs
A limited company may be able to claim allowances and reliefs to reduce a tax bill. What a business can claim will depend on the nature of the business and its assets.
Anything you or your employees get personal use from must be treated as a benefit.
Capital allowances
Claim capital allowances if you buy assets that you keep to use in your business, for example:
- equipment
- machinery
- business vehicles, for example cars, vans, lorries
Other reliefs
You may be able to make a claim for:
- Research and Development (R&D) Relief
- The Patent Box if your company makes a profit from patented inventions
- reliefs for creative industries if your company makes a profit from theatre, film, television, animation or video games
- relief on goodwill and other relevant assets, such as customer relationships and unregistered trade marks
- Disincorporation Relief if you’re closing your company and becoming a sole trader, ordinary business partnership or limited partnership
- terminal, capital and property income losses
- trading losses
Marginal Relief
Your company or organisation may be entitled to ‘Marginal Relief’ if its taxable profits from 1 April 2023 are between £50,000 and £250,000.
Overpayment relief
If you think you have overpaid Corporation Tax you may be able to claim it back.
You can find out if you should claim overpayment relief and how to make a claim.