Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether she has had discussions with stakeholders on the potential merits of implementing thresholds for corporation tax as per personal taxation.

Companies already pay Corporation Tax in line with their profitability. The main rate of 25 per cent – which is the lowest in the G7 – applies to profits over £250,000. The small profits rate of 19 per cent applies to profits under £50,000. Marginal relief applies to profits between £50,000 and £250,000 so that the tax rate increases gradually from 19% to 25%.