Corporation Tax
Every limited company must pay Corporation Tax on its profits and file a Corporation Tax return (the CT600) with HMRC each year. Getting this right is about more than compliance — it is about claiming every relief and allowance you are entitled to so you do not pay a penny more than you legally owe. Our London accountants prepare, optimise and file your Corporation Tax return accurately and on time.
How Corporation Tax works
Corporation Tax is charged on your company’s taxable profits, which include trading profits, investment income and chargeable gains. The rate you pay depends on your level of profits, with a main rate and a lower small profits rate separated by a tapering band. Marginal relief can apply to companies whose profits fall within that band.
Your Corporation Tax return (CT600) must be filed within 12 months of your accounting period end, and the tax itself must be paid nine months and one day after that date. Miss either deadline and you face interest and penalties from HMRC.
How we prepare and optimise your return
We start from the profit shown in your annual accounts and then make the adjustments needed for tax purposes — adding back non-deductible expenses and claiming every relief you qualify for. This includes capital allowances on assets like equipment and machinery, which can significantly reduce your taxable profit in the year of purchase.
We calculate your exact tax liability, advise you on when and how much to pay, and submit the CT600 directly to HMRC. Because we prepare your accounts and your tax return together, nothing is missed and the figures always reconcile.
Planning ahead to reduce your bill
The most effective Corporation Tax planning happens before your year-end, not after. A pre-year-end review lets us time purchases, dividends and expenses to maximise reliefs — something that is impossible once the year has closed. We offer this review as part of our ongoing service.
Frequently Asked Questions
When is Corporation Tax due to be paid?
Payment is due nine months and one day after your accounting period end, and the CT600 return is due within 12 months. We track both for you.
What are capital allowances?
Capital allowances let you deduct the cost of qualifying assets like equipment and machinery from your taxable profit, reducing your Corporation Tax bill. We identify every allowance you can claim.
Can you reduce my Corporation Tax bill?
We ensure you claim every legitimate relief and allowance so you never overpay. The most effective savings come from planning before your year-end, which we build into our service.
What if my company made a loss?
Trading losses can usually be carried forward to offset future profits, or in some cases carried back or set against other income. We advise on the most beneficial treatment for your situation.