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COMPANY TAXATION
Financial year from 1 April
2017
2016
Corporation tax rate
19%
20%
Loan to participators
32.5% 32.5%
Diverted proits tax
25%
25%
MAIN CAPITAL ALLOWANCES
n
Initial allowances
First year allowance: for certain environmentally
beneicial equipment, new and unused electric and low
CO
2
emission cars (up to 75g/km)
100%
Annual investment allowance: on irst £200,000
(excludes cars)
100%
n
Writing down allowances
Other plant and machinery
18%
Long-life assets, integral features of buildings, thermal
insulation
8%
Cars
76g/km – 130g/km
18%
Over 130g/km
8%
Patent rights and know how – annual reducing balance 25%
VALUE ADDED TAX
From 1 April
2017
2016
Standard rate
20%
20%
VAT fraction
1/6
1/6
Reduced rate
5%
5%
VAT fraction
1/21
1/21
n
Taxable turnover limits
From 1 April
2017
2016
Registration (last 12 months or
next 30 days) over
£85,000
£83,000
Deregistration (next year) under
£83,000
£81,000
Registration for distance selling
into the UK (last 12 months or
next 30 days) over
£70,000
£70,000
Annual accounting scheme
£1,350,000 £1,350,000
Cash accounting scheme
£1,350,000 £1,350,000
Flat rate scheme
£150,000
£150,000