While at first glance, this may be seen as a positive as the headline rate of Corporation Tax is lower than Income Tax by 1%. However, falling within the scope of paying Corporation Tax brings with it far more complexity and the application of provisions that could disallow some of the company’s running costs, in particular interest and financing costs.
Our flowchart sets out some of the key areas that such companies will need to think through in assessing the impact of the change on their tax profile.
For further details please contact Caroline Fleet or your usual Crowe advisor.
View full PDF - key matters companies need to consider