Since 1 April 2023 the corporation tax limits (£50,000 small profits, £250,000 main rate) are divided by one plus the number of your associated companies, and pro-rated for accounting periods shorter than 12 months. Two associated companies can push a £60,000-profit company from 19% straight into marginal relief territory. Enter your profits, associated company count, and period length to see your divided limits, marginal relief, effective rate, and whether the £1.5 million quarterly instalment threshold is triggered. Figures apply for 2026/27 (rates unchanged since FY2023).
Profits chargeable to corporation tax after all deductions and reliefs.
Companies under common control at any point in the period. Dormant companies and certain passive holding companies do not count.
Limits are pro-rated for periods shorter than 12 months.
Added to taxable profits to give 'augmented profits', which are measured against the limits. Dividends from 51% subsidiaries are excluded.
Associated company status is tested at any point in the accounting period, and control includes rights of certain relatives and business partners where there is 'substantial commercial interdependence'. This is an estimate, not advice.