Are you the owner of a limited company, club, society, association or similar unincorporated body? If the answer is yes, then this information applies to you. Corporation tax is one of the many tentacles of tax which affects business and individuals. This is a simple overview of corporation tax explaining what it is and who is obligated to pay it.
Corporation tax is that is charged on taxable income that is earned from trading and investment profits (except dividend income) as well as capital gains (or chargeable gains). Limited companies and organisations such as certain clubs, societies, charities and co-operatives, are liable to pay corporation tax. If an organisation is based in the UK, you will be charged corporation tax, even if your taxable profits have been made in other countries. However, if your company operates in the UK but is based elsewhere you will not be charged corporation tax on profit made.
You can sort out your payments of corporation tax yourself, but if you require some help then it is best to speak to a qualified accountant who will be able to provide you with expert advice and guidance on the matter. Company Tax Returns need to be returned to HMRC via an online form and payments must be made electronically.