Guides: 2023-24 tax rates reference card
Get your free, handy guide to all the key rates and allowances you need to know for the tax year 2023 – 2024
Includes property, income, R&D relief, vehicle, capital gains, and NI rates.
Please note that some changes were announced in the Spring Budget and we have made every effort to ensure this document is up to date. However, you should always double-check the latest government guidelines for tax rates and allowances and seek professional advice where needed.
Changes in Spring 2023 include:
- Revenue expenditure – SMEs 86% Capital expenditure – all companies 100% SME company R&D payable credit 10%* R&D expenditure credit (RDEC) 20%.
- The basic income tax rate will fall from 20% to 19% by the end of parliament in 2024 but this is not yet active.
- A Corporation Tax rate of 19% will exist for Companies with profits of less than £50,000. Companies with profits between £50,000 and £250,000 will pay tax at the main rate, reduced by a marginal relief. This provides a gradual increase in the effective Corporation Tax rate. From April 2023 the main rate of Corporation Tax will now be 25% for companies with profits of £250,000 or more.
- The Office for Budget Responsibility (OBR) is now forecasting that Consumer Price Index (CPI) inflation will fall to 2.9% by the end of 2023. It has also been announced we are going to avoid a recession this year.
- Full Expensing replaces Super Deduction Tax, allowing companies across the UK to write off the full cost of qualifying plant and machinery investment in the year they invest. It can be deducted ‘in full and immediately’ from taxable profits. It is effective from April 1, 2023, to March 31, 2026.
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