Corporation Tax, Company Tax Returns and CT600 explained
Corporation tax is paid by companies on their profits. Your company’s profit is the total turnover for the financial year, minus all outgoing salaries and operating expenses incurred. The corporation tax to be paid is a percentage of the profit. The percentage applicable has changed over the years. Currently, starting from 1st April 2017, the Corporation tax is 19% for small businesses.
The UK corporate tax regime applies to incorporated companies (limited by shares or guarantee) and other bodies including clubs and associations. The UK corporation tax does NOT apply to trusts, partnerships or individuals.
The UK corporation tax system is a self-assessment system. This means that the taxpayer is responsible for calculating its taxable profits including whether any reliefs apply, tax adjustments are required or whether any rules apply.
A company tax return is a form filed with a tax authority on which a taxpayer states their income, expenses, and other tax information.
CT600 Form is a Company Tax return and details the Corporation Tax payable to HMRC. It consists of a completed CT600 form plus information, accounts, computations, statements and reports which the company has furnished.
The completed CT600 form, iXBRL-tagged accounts, a Corporation Tax computation, and any supporting schedules.
No CT600 is the form used to report and calculate the Corporation Tax you owe, not the tax itself.
HMRC periodically updates the CT600; always confirm you're using the latest version on gov.uk, or let an authorised agent like FinTags handle this for you.
Yes a return is still required to report a nil or loss position.
Yes, directly via HMRC's Government Gateway, or through an authorised agent like FinTags.
It's available on gov.uk, or FinTags can prepare and file it for you as part of its £60 filing service.
