Small companies Corporation tax question?

[1hardwork]

I see they've reduced corporation tax down to 18%. I know this won't actually take affect until 2020. My question is, will this rate apply to small businesses? The under £300k net profit companies.

Us small business have watched the higher rate corporation rate tax percentage drop over the years, from 28% now equal to the small business rate. Will we follow them down to 18% or will we be stuck on the old 20%????

I believe it's important for small businesses to put as much back as they can in the beginning, so i'm rather hoping we too will benefit from this new lower rate, even if it is a few years off.

Couldn't see much in the press about the small co rate. Here's hoping a fellow PH'er can cast some light on the subject.

Thanks
Carlos

[L4CON]

From April 2015 there is only one rate for all companies (except ring-fence profits) which is why you wont see any mention of the small business rate, essentially that has been abolished and all companies pay at the main rate (which happens to be 20% now).

[sumo69]

Yes - the change applies to all companies.

19% from 1/4/17 and 18% from 1/4/20.

David