Corporation Tax
Effective rate to | 31.3.2016 | 31.3.2015 |
---|---|---|
Profits up to £300,000 | 20% | 20% |
Profits £300,001 to £1,500,000 | 20% | 21.25% |
Profits above £1,500,000 | 20% | 21% |
Research and development relief | From 1.4.2015 | From 1.4.2014 |
---|---|---|
SME enhanced expenditure deduction scheme* |
130% |
125% |
Large company enhanced expenditure deduction scheme* |
30% |
30% |
Large company R&D Expenditure Credit (RDEC) scheme** |
11% |
10% |
*Additional deduction for qualifying R&D
**Taxable expenditure credit for qualifying R&D
SMEs that make losses can surrender the deduction to HMRC in exchange for a payment of 14.5% (year to 31.3.15: 14.5%) of the loss.
From 1 April 2016, RDEC will be the only scheme available for large companies.