Corporation tax rates are set for each Financial Year, A Financial Year runs from 1 April to the following 31 March.
If the accounting period of a company straddles the 31 March, the profits are apportioned on a time basis to each Financial Year.
Up to 31 March 2023 all taxable profits made by a limited company are taxed at 19%.
In the 2021 Spring Budget, the government announced an increase in the Corporation Tax main rate from 19% to 25% for companies with profits over £250,000 together with the introduction of a small profits rate of 19% with effect from 1 April 2023.
The small profits rate will apply to companies with profits of not more than £50,000, with marginal relief available for profits up to £250,000.