UPDATE - 14 OCTOBER 2022 Today, the Government reversed its decision (on 23 September) to scrap the rise in the corporation tax rate. The CT rate will increase from 19% to 25% from 1 April 2023
Original note drafted 23 September 2022:
On 23 September 2022, the Chancellor announced that the planned increase in Corporation Tax rate to 25% from 1 April 2023, has been cancelled. Accordingly, the Corporation Tax rate will remain at 19%.
Following the previous announcement that the main rate of Corporation Tax was to be increased to 25%, some companies may have taken steps to minimise the immediate impact of this, such as by delaying the use of tax losses until after 1 April 2023. Now that the increase in the rate has been cancelled, those companies may wish to revisit and confirm whether the actions previously taken remain appropriate or if alternative claims should now be made, where possible to do so (e.g. by making claims to utilise tax losses in any open periods).