UK tax and incentives
A clear tax system
We have a single company tax that’s transparent and applied consistently. Any company resident in the UK must pay UK Corporation Tax on company profits. Any overseas company with a UK branch or office must pay UK Corporation Tax on company profits arising in the UK.
A competitive tax system
The current Corporation Tax rate is 19%, the lowest in the G20.
The UK does not have a withholding tax on dividends paid by UK companies to shareholders in another country.
A fair tax system
Tax reliefs and incentives
The UK offers attractive venture capital schemes to help small and medium enterprises expand.
There are generous incentives for companies investing in research and development in the UK to promote fast-growing, innovative services and products, such as the R&D Expenditure Tax Credit.
In addition, the Patent Box offers a 10% corporation tax (compared to the usual 19%) on profits from inventions patented in the UK.
Tax advice for doing business in the UK
The UK government can give you information on how the tax environment works in the UK.