Budget 2011 announced changes to Corporation Tax rates and allowances from April 2011. These included reducing the main rate of Corporation Tax from 28 per cent to 26 per cent and the small profits rate from 21 per cent to 20 per cent.
These changes will take effect from the date the Finance Bill 2011 receives Royal Assent (July 2011), but will only affect returns with accounting periods that end on or after 1 April 2011 with filing dates of 1 April 2012 or later.
If your company has no tax liability and you want to file your Company Tax Return early, then you can do so because the rate changes won't affect you. If your company does have a tax liability, you'll need to wait until the online service is updated in October 2011 to file your return using the new rates.
If you can't wait until October and have an urgent need to file your return before then, please contact your HM Revenue & Customs' Corporation Tax Office for further advice.
