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UK COMPANY TAXATION
Financial year from 1 April
2018
2017
Corporation tax rate
19%
19%
Loan to participators
32.5%
32.5%
Diverted proits tax
25%
25%
MAIN CAPITAL ALLOWANCES
Initial allowances
First-year allowance: for certain environmentally
beneicial equipment, new and unused electric and low
CO
2
emission cars (up to 50g/km)
100%
Annual investmentallowance:onirst£200,000(excludescars)
100%
Writing down allowances
Other plant and machinery
18%
Long-life assets, integral features of buildings,
thermal insulation
8%
Cars
51g/km – 110g/km
18%
Over 110g/km
8%
Patent rights and know-how – annual reducing balance
25%
VALUE ADDED TAX
From 1 April
2018
2017
Standard rate
20%
20%
VAT fraction
1/6
1/6
Reduced rate e.g. on domestic fuel
5%
5%
VAT fraction
1/21
1/21
Taxable turnover limits
From 1 April
2018
2017
Registration (last 12 months or
next 30 days) over
£85,000
£85,000
Deregistration (next year) under
£83,000
£83,000
Registration for distance selling
into the UK (last 12 months or
next 30 days) over
£70,000
£70,000
Annual and cash accounting
schemes turnover limit
£1.35m £1.35m
Flat rate scheme
£150,000
£150,000