Tax Rates 2015/16

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.