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Corporation Tax and how to pay?
What is corporation tax?
How do I pay for my corporation tax?
Corporation Tax
Are you trading as
- Limited Company
- a club, co-operative or other unicorporated association (community group or sports club)
You don't get a bill for corporation tax. There are things you must do to work out what you have to pay by completing and filing your return.
- You must register for corporation tax.
- Keep your accounting records.
- Pay corporation tax or report even if you have nothing to pay - your deadline is usually 9 months and 1 day after the end of your "accounting period"
- Filing your company tax return by your deadline - this is usually 12 months after the end of you accounting period.
Profits you pay Corporation Tax on
Taxable profits for Corporation Tax include the money your company or association makes from:
- doing business (‘trading profits’)
- investments
- selling assets for more than they cost (‘chargeable gains’)
If your company is based in the UK, it pays Corporation Tax on all its profits from the UK and abroad.
If your company isn’t based in the UK but has an office or branch here, it only pays Corporation Tax on profits from its UK activities.
How to pay your Corporation Tax
Make sure you pay HM Revenue and Customs (HMRC) by the deadline. They may charge you interest if you do not pay on time. They’ll pay you interest if you pay your tax early.
