Corporation Tax rates and marginal relief 2026/27
The small profits rate, the main rate, how marginal relief works between the two limits, and the effective rate at each profit level.
- 2026/27 tax year, reviewed 2nd September 2026
- Figures from HMRC and the Treasury
- Updated automatically when rates change
- 19%Profits up to £50,000
- 25%Profits over £250,000
- 26.5%Effective rate on the slice between
What changed from 2025/26 to 2026/27
| Item | 2025/26 | 2026/27 | Change |
|---|---|---|---|
| Small profits rate | 19% | 19% | No change |
| Main rate | 25% | 25% | No change |
| Lower limit | £50,000 | £50,000 | No change |
| Upper limit | £250,000 | £250,000 | No change |
Full rates and thresholds
Everything for 2026/27 in one place.
Tax at each profit level (single company)
| Taxable profit | Corporation Tax | Effective rate |
|---|---|---|
| £30,000 | £5,700 | 19% |
| £50,000 | £9,500 | 19% |
| £100,000 | £22,750 | 22.8% |
| £200,000 | £49,250 | 24.6% |
| £300,000 | £75,000 | 25% |
Worth knowing
- Marginal relief: tax = profit × 25% minus (upper limit − profit) × 3/200. The result is 19% at £50,000 rising smoothly to 25% at £250,000.
- The limits are divided by the number of associated companies plus one, so two connected companies each get a £25,000 lower limit.
- Corporation Tax is due nine months and one day after the end of the accounting period for most small companies.
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Frequently asked questions
What is the Corporation Tax rate for a small company?
19% on profits up to £50,000. Between £50,000 and £250,000 marginal relief applies; above £250,000 the main rate of 25% applies to all profit.