Corporation Tax


	Financial Year
	2008/09	2007/08
Profits exceeding £1,500,000 (standard rate)	28%	30%
Profits under £300,000 (small companies rate)	21%	20%

Marginal relief fraction	1/40	1/40
Effective marginal rate on profits between £300,000 and £1,500,000	29.75%	32.50%

Note that for close investment holding companies the 30% rate will apply regardless of profit levels.