Finance (No. 2) Act 2010
2010 CHAPTER 31
Section 1: Main Rate of Corporation Tax for Financial Year 2011
Summary
1.Section 1 amends the main rate of corporation tax for the financial year beginning 1 April 2011 and sets it at 27 per cent for companies with profits other than ring fence profits of North Sea oil companies.
Details of the Section
2.Section 1 amends section 2(2)(a) of the Finance Act 2010, to set the main rate of corporation tax, for non-ring fence profits, at 27 per cent for the financial year 2011.
Background Note
3.The main rate of corporation tax is paid by companies with profits over and above the upper limit (currently £1.5 million).
4.Where two or more companies are associated with one another, the upper limit is reduced. This is done by dividing the limit by the number of associated companies.
5.Companies with profits from oil extraction and oil rights in the UK and the UK Continental Shelf (“ring fence profits”) will continue to be subject to a separate main rate of corporation tax applicable to those ring fenced profits. This will remain at 30 per cent. Profits from activities which are not ring fenced will continue to be charged at the main rate of corporation tax applicable to all other profits.
- Blaenorol
- Nodiadau Esboniadol Tabl o’r Cynnwys
- Nesaf
