Just a minor note, but one that will be appreciated by our clients. As announced by Chancellor Alistair Darling in his Pre-Budget Report speech to the House of Commons, the corporation tax rate for small companies will remain at 21% for 2010.
Last year he proposed a 1% increase in the small companies’ rate of CT from 21% to 22% – this will now be deferred for a year.
Extra for Experts
The small companies tax rate of 21% applies to all qualifying companies with profits at a rate not exceeding £300,000.
The main rate of corporation tax is 28% (unchanged for 2010 also). This kicks in on profits, once they exceed £1,500,000.