Sound advice for Kettering businesses from local accountant Simon Laskey regarding your marginal rate of corporation tax in 2023.
What will your marginal rate of corporation tax be in 2023? You may be surprised.
If you trade as a limited company and report a profit of between £50,001 and £249,999 you may want to know that your marginal rate of tax in that band is 26.5%.
That’s not 19% or 25% (as widely reported), but 26.5%.
The reason for this is something called ‘marginal relief’ where your tax is calculated at 25% and then an amount calculated by a formula is deducted.
The result is that for every £1 of additional profit in that band, you will pay 26.5% in additional corporation tax.
The good news is that with some timely tax planning you can also save 26.5% for every £1 of relief that you can generate!
Plan for 2023!
Talk to Simon, he is offering a free one hour consultation.
Check out information with Simon here.
