Further financial support from government

The following schemes were announced in the March budget:

Extension to loss carry back 

 Unincorporated businesses that are not members of a corporate group will be able to claim tax relief for up to £2 million of losses in each of the 2020/21 and 2022/22 financial years.  

 Corporation tax 

 Businesses with profits of less than £50,000 will continue to pay 19% Corporation Tax. The rate of corporation tax will increase to 25% on profits of £250k and more from April 2023.   

 New super-deduction capital allowance for business investment 

 For the next two years businesses that invest in plant and machinery for their businesses will be able to reduce their tax bill through a 130% upfront capital allowance super-deduction.   

 More information will be provided here when it is published by the government. In the meantime, you can find out more about the recent budget announcements on the government website.