The value of business tax reliefs in the UK reached £105.3bn in 2021/22, up from £100.3bn in 2020/21, according to Thomson Reuters. The £105.3bn figure represents the combined cost estimated by HMRC for the 58 significant tax reliefs available to corporates. However, these represent just a fraction of the hundreds of tax breaks that are available to UK corporates. The value of many of these is deemed to be so low as to be negligible.
Making full use of tax reliefs is likely to become even more important for UK corporates given the planned increase in the rate of corporation tax from April 2023, says Thomson Reuters. The April increase in the rate of corporation tax from 19% to 25% for businesses with annual profits greater than £50,000 is projected to bring in an additional £22bn of revenue for the Treasury, with corporation tax receipts estimated to increase from £48.8bn in 2022/23 to £71.3bn in 2023/24.
The value of business tax reliefs in the UK reached £105.3bn in 2021/22, up from £100.3bn in 2020/21, according to Thomson Reuters. The £105.3bn figure represents the combined cost estimated by HMRC for the 58 significant tax reliefs available to corporates. However, these represent just a fraction of the hundreds of tax breaks that are available to UK corporates. The value of many of these is deemed to be so low as to be negligible.
Making full use of tax reliefs is likely to become even more important for UK corporates given the planned increase in the rate of corporation tax from April 2023, says Thomson Reuters. The April increase in the rate of corporation tax from 19% to 25% for businesses with annual profits greater than £50,000 is projected to bring in an additional £22bn of revenue for the Treasury, with corporation tax receipts estimated to increase from £48.8bn in 2022/23 to £71.3bn in 2023/24.
