Corporation tax rises to 25% from 1 April 2023 and other business changes in the Autumn Statement.
The employment allowance will remain at its current level of £5,000, having increased to that amount in April 2022.
Business rates – The Chancellor confirmed that a business rates revaluation will still take place in April 2023
The annual investment allowance will be permanently set at £1m for businesses.
Changes to the rates of the two research & development (R&D) relief schemes were announced.
Following consultation, the Government has decided not to introduce a proposed online sales tax.
The VAT registration and deregistration thresholds will remain at their current levels of £85,000 and £83,000 respectively until 1 April 2026.
Corporation tax rates will still increase from April 2023. This means that, from April 2023, the rate will increase to 25% for companies with profits over £250,000. The 19% rate will become a small profits rate payable by companies with profits of £50,000 or less. Companies with profits between £50,001 and £250,000 will pay tax at the main rate reduced by a marginal relief, providing a gradual increase in the effective corporation tax rate.
It has been confirmed that this change will not go ahead and the off-payrolling rules will remain in force.