Corporation Tax

The tax law regarding the treatment of income and what expenses can be treated as deductible for corporation tax can be complicated. With corporation tax reliefs and rates changing on an annual basis, it’s important to make the most of all the exemptions, allowances, and deductions available for tax return calculations.

All active companies must file a corporation tax return to HMRC each year to work out how much corporation tax is owed. But there are plenty of reliefs that can help reduce your bill.

Our specialists at Bell and Summers Accountants cover all aspects of technical tax guidance that your small business may need. We spend time with you to understand your circumstances, minimise tax, and the best way to structure your business for growth and risk mitigation.

A corporation tax return is based on the profit or losses from your statutory accounts to work out how much corporation tax is due. The profit you make is not necessarily directly linked to the amount of tax your company will pay as there are several reliefs, allowances, and expenses you can claim to reduce your tax bill.

You have allowable expenses such as business travel or stationery that you can claim for, Businesses can also carry forwarded losses from previous years to set against future profits. There is also an annual investment allowance of £200,000 for items such as computers and printers. You can offset this spending against your tax bill. You need to include all calculations for these expenses in your return.

It can be complicated to work out the reliefs you are entitled to and to make sure you report the right information to HMRC. That’s why it’s our job to make sure you adopt the tax treatment that you are entitled to and to flag up possibilities for saving corporation tax at every opportunity. We have a very experienced corporation tax team who understand the key tax issues that affect SME businesses, how HMRC can be expected to address these, and how best to ensure compliance in light of HMRC’s increasingly harsh inquiry and penalty regime.

Get in touch with us to find out more information.