Skip to main content

    What is Corporation Tax?

    4 min read · 2025-01-15

    Corporation Tax is the tax UK limited companies pay on profits — 19% on profits up to £50,000, 25% on profits above £250,000, with marginal relief in between (since April 2023).

    • 19% small profits rate: profits up to £50,000
    • 25% main rate: profits above £250,000
    • Marginal relief between £50,000 and £250,000
    • Thresholds are divided by the number of associated companies