Corporation tax
| Financial year to | 31/03/2021 | 31/03/2020 |
| Rate | 19% | 19% |
Stamp taxes
| Shares and marketable securities | 0.5%³ |
| Transfers of land and buildings₄ | |
| Residential (on band of consideration)₅,₆,₇ | |
| £0 – £125,000 | 0% |
| £125,001 – £250,000 | 2% |
| £250,001 – £925,000 | 5% |
| £925,001 – £1,500,000 | 10% |
| Over £1,500,000 | 12% |
| Non-residential (on band of consideration) | |
| £0 – £150,000 | 0% |
| £150,001 – £250,000 | 2% |
| Over £250,000 | 5% |
| Leases (Rent – on band of net present value)₄ | |
| Residential | Non-residential |
| £0 – £125,000 | £0 – £150,000 0% |
| Over £125,000 | £150,001 – £5,000,000 1% |
| N/A | Over £5,000,000 2% |
| Premiums₄ | |
| Duty on premiums is the same as for transfers of land. | |
1 Subject to lifetime limit on gains of £1 million.
2 Subject to lifetime limit on gains of £10 million.
3 Rounded up to the nearest multiple of £5. Transactions of £1,000 or less exempt.
4 Transfers of land and leases in Scotland are chargeable to land and buildings transaction tax, and in Wales to land transaction tax. Different rates of tax may apply.
5 Where the consideration exceeds £500,000 and the purchase is by – or by a partnership including – a company or collective investment scheme enveloping the property, the rate is 15% of the total consideration.
6 Where the consideration is no more than £500,000 and the purchaser is a first-time buyer, the 0% band is increased to £300,000 (and the 5% rate applies to any consideration above £300,000). Includes qualifying shared ownership property.
7 Rates are increased by 3 percentage points for certain purchases, including purchases of additional residential properties by individuals. Transactions under £40,000 are excluded.
Car benefit
| 2020/21 – cars first registered after 5 April 2020 | ||||
| CO2 emissions g/km |
Electric range (miles) |
% of list price | CO2 emissions g/km | % of list price |
| 0 | N/A | 0 | 100-104 | 23 |
| 1-50 | >130 | 0 | 105-109 | 24 |
| 1-50 | 70-129 | 3 | 110-114 | 25 |
| 1-50 | 40-69 | 6 | 115-119 | 26 |
| 1-50 | 30-39 | 10 | 120-124 | 27 |
| 1-50 | <30 | 12 | 125-129 | 28 |
| 51–54 | 13 | 130-134 | 29 | |
| 55–59 | 14 | 135-139 | 30 | |
| 60–64 | 15 | 140-144 | 31 | |
| 65–69 | 16 | 145-149 | 32 | |
| 70–74 | 17 | 150-154 | 33 | |
| 75–79 | 18 | 155-159 | 34 | |
| 80–84 | 19 | 160-164 | 35 | |
| 85–89 | 20 | 165-169 | 36 | |
| 90–94 | 21 | 170 or more | 37 | |
| 95–99 | 22 | |||
Rates are 2% higher (up to max 37%) for cars registered before 6 April 2020.
4% supplement (up to max 37%) applies to diesel cars which do not meet the RDE2 standard.
Car fuel benefit
For 2020/21, car fuel benefit is calculated by applying the above car benefit percentage to a figure of £24,500.
Capital allowances
| Dredging | Rate% |
| (straight-line basis) | |
| Writing-down allowance | 4 |
| Know-how | |
| (reducing balance basis) | |
| Writing-down allowance | 25 |
| Mineral extraction | |
| (reducing balance basis) | |
| Writing-down allowances | |
| General | 25 |
| Acquisition of mineral asset | 10 |
| Patent rights | |
| (reducing balance basis) | |
| Writing-down allowance | 25 |
| Plant and machinery | |
| (reducing balance basis) | |
| Annual investment allowance – max £1,000,000 pa | |
| (max £200,000 pa from 1/1/2021) | 100 |
| First-year allowances | |
| New cars with CO2 emissions 50 g/km or less | 100 |
| New gas refuelling stations | 100 |
| New zero-emission goods vehicles | 100 |
| New assets for use in designated | |
| areas of enterprise zones (companies only) | 100 |
| New electric charge-point equipment | 100 |
| Writing-down allowances | |
| General | 18 |
| Cars (other than low-emission cars) | 6 |
| Special rate expenditure | |
| (including integral features and thermal insulation) | 6 |
| Long-life assets | 6 |
| Research and development | |
| Allowance | 100 |
| Structures and buildings | |
| (straight-line basis) | |
| Writing-down allowance | 3 |
Value added tax
| Standard rate | 20% |
| Reduced rate | 5% |
| Registration threshold | £85,000 pa |
| Deregistration limit | £83,000 pa |
| Annual accounting scheme turnover limit | £1,350,000 pa |
| Cash accounting scheme turnover limit | £1,350,000 pa |
| Flat rate scheme turnover limit | £150,000 pa |
Investment reliefs
| Investment limit | Income tax relief rate | |
| Enterprise investment scheme | £1,000,000 | 30% |
| Venture capital trusts | £200,000 | 30% |
| Seed enterprise investment scheme | £100,000 | 50% |
| Social investment relief | £1,000,000 | 30% |
