Corporation Tax Calculator
Calculate UK corporation tax for Financial Year 2025. The small profits rate of 19% applies below £50,000 profit. The main rate of 25% applies above £250,000. Marginal relief applies in between.
How it's calculated
Small profits rate (≤£50k): 19%. Main rate (≥£250k): 25%. Marginal relief band: Tax = 25% × profit − (3/200) × (£250,000 − profit).
Frequently Asked Questions
- What is the UK corporation tax rate for 2025?
- The main rate is 25% for profits above £250,000. A small profits rate of 19% applies to profits of £50,000 or less. Marginal relief tapers the effective rate between £50k and £250k.
- What is marginal relief for corporation tax?
- Marginal relief reduces the corporation tax bill for companies with profits between £50,000 and £250,000, giving an effective rate that transitions smoothly from 19% to 25%.
- Do the limits change for associated companies?
- Yes — the £50k and £250k thresholds are divided equally among associated companies (companies under common control). For example, two associated companies each have a £25k small profits limit.