Small Businesses Paid Record High £32 Billion in Corporation Tax in 2015
UK businesses paying more to cover North Sea oil's reduced corporation tax bill
Last year, ‘real economy’ UK businesses paid a record high £32.4 billion in corporation tax, according to Funding Options, the online business finance supermarket.
Funding Options says that the extra tax taken from small businesses gives the government the opportunity to ease the tax burden placed on small enterprises.
UK businesses have been paying extra tax in order to make up for the shortfall of the reduced tax take from North Sea oil & gas. Corporation tax revenue from North Sea oil & gas companies has fallen from £10.2 billion in 2008/2009 to £2.5 billion in 2015, the lowest since rate since 1999/2000.
Conrad Ford, CEO of Funding Options, said:
“Reintroducing a lower corporation tax rate for small businesses would be a major and deserved boost to UK SMEs.
Small businesses in the UK benefitted from a lower rate of corporation tax for over 40 years until 2015. This was an effective way of helping small businesses to compete with larger rivals and would be so again.”