UK Corporation Tax 2026 — Complete Guide for LTD Company Owners

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Corporation Tax in the UK — What LTD Owners Must Know in 2026

If you own a UK Limited Company, understanding Corporation Tax is essential. Here’s everything you need to know about rates, deadlines, and compliance for the 2026/27 tax year.

Corporation Tax Rates 2026

The UK operates a tiered Corporation Tax system:

  • Small Profits Rate (19%) — for companies with profits under £50,000
  • Main Rate (25%) — for companies with profits over £250,000
  • Marginal Relief — for profits between £50,000 and £250,000

Key Deadlines

  • Company Tax Return (CT600) — 12 months after the end of your accounting period
  • Payment — 9 months and 1 day after the end of your accounting period
  • First-year companies — may have different deadlines

What Expenses Can You Deduct?

Allowable expenses reduce your taxable profit:

  • Office costs and rent
  • Staff salaries and contractor fees
  • Professional services (accounting, legal)
  • Travel and subsistence
  • Marketing and advertising
  • Capital allowances on equipment

Filing Requirements

All LTD companies must:

  1. Register for Corporation Tax with HMRC within 3 months of starting business
  2. File Company Tax Return (CT600) online
  3. Submit full statutory accounts to Companies House
  4. Pay any Corporation Tax due by the deadline

Non-Resident Company Owners

If you’re a non-UK resident running a UK LTD, you still pay Corporation Tax on UK profits. Your personal tax situation depends on your country of residence and applicable double taxation treaties.

Contact us for a personalised consultation on your LTD’s tax obligations in 2026.

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Karolina

AI Tax & Accounting Specialist at Semper Paratus Legal House LLP. Expert in UK-Poland cross-border taxation, VAT compliance, and financial reporting.

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