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Impostos al Regne Unit

Tax Rates

Consumption Taxes

Nature of the Tax
Value-Added Tax (VAT)
Tax Rate
20%
Reduced Tax Rate
A reduced VAT rate of 5% applies to: children’s car seats; certain social housing; some social services; electricity, natural gas and district heating supplies (for domestic use only); some energy-saving domestic installations and goods; LPG and heating oil (for domestic use only); some renovation and repairs of private dwellings; some medical equipment for disabled persons; etc.

In light of the COVID-19 pandemic, for the period 15 July 2020-30 September 2021, the 5% reduced rate will also apply to hospitality and tourism, including restaurants; cafes; pubs (ex alcohol); hospitality; hotels; B&B's; home rental; caravan and tent sites; hot take away food; theatres; circuses; amusement parks; concerts; museums; zoos; cinemas; and exhibitions (in any case, served alcoholic drinks will not benefit from the cut). From 30 September 2021 to 30 April 2022, the rate will be 12.5%.

Some goods and services are zero-rated: some social housing; printed books (including e-books); newspapers and periodicals; renovations to private housing (Isle of Man only); collections of domestic refuse; household water supplies (except distilled and mineral water); supplies of food and drink (some exceptions); take away food (if bought on the catering premises); cut flowers and plants for food production; prescribed pharmaceutical products; certain medical supplies for disabled persons; domestic passenger transport; children's clothing and footwear; children’s diapers; live animals destined for human consumption; seed supplies; supply of animal feed; supplies of residential caravans and houseboats; some construction work on new buildings; some supplies of new buildings; sewerage services; motorcycle and bicycle helmets; commercial ship and aircraft stores; intra-community and international passenger transport; some gold ingots, bars and coins, women’s sanitary products.

Other Consumption Taxes
Excise duties are chargeable on most hydrocarbon oil products, alcoholic drinks, and tobacco products.
The Soft Drinks Industry Levy (Sugar Tax) is applied at two rates: GBP 0.18 per litre of drink if it contains between 5–8 grams of sugar per 100 millilitres, GPB 0.24 per litre of drink if it contains 8 grams of sugar per 100 millilitres or more.

There are several environmental taxes, including: a Landfill tax, a Climate change levy and an Aggregates levy.

Individuals leaving the United Kingdom by air are required to pay a duty, which is generally included in the cost of the air ticket.

 
Find out more about Taxes and Accounting in the United Kingdom on GlobalTrade.net, the Directory for International Trade Service Providers.
 

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Corporate Taxes

Company Tax
19% (where the taxable profits can be attributed to the use of patents, a reduced rate of 10% applies)
Tax Rate For Foreign Companies
Resident companies are taxable in the United Kingdom on their worldwide income.
A non-resident company is subject to UK corporation tax only on the trading profits of a UK permanent establishment or the trading profits attributable to a trade of dealing in or developing UK land (even if there is no PE in the UK). From 6 April 2020, non-UK resident companies including those who invest in UK property through collective investment vehicles will need to pay corporation tax instead of income tax on profits from UK property. Any other UK-source income received by a non-resident company is subject to UK income tax at a rate of 20%, without any allowances.
Capital Gains Taxation
Capital gains of a company are considered taxable profits but are exempt if they arise from the disposal of substantial shareholdings in both UK and foreign companies. Substantial shareholding is often defined as an interest in a minimum of 10% of an investee company for a period of 12 months in the six years preceding the purchase. Non-resident companies are generally not subject to capital gains tax unless gains are obtained by their permanent establishment in the UK.
From April 2019, gains from the disposal of UK property and certain UK property-related investment assets by non-residents are subject to UK tax. For disposals prior to April 2019, the scope of the charge is restricted to disposals of UK residential property only, and to narrower categories of non-resident persons.
Capital losses are allowed only as an offset to capital gains.
Gains realised on certain types of assets - such as land and buildings used for a trade - can be deferred where all or most of the proceeds are reinvested in other assets of those types within a certain period (generally three years - so-called "rolled-over").
Main Allowable Deductions and Tax Credits
For company taxation purposes, total profits are the total of (i) the company's net income from each source (trade, property business, interests, dividends, etc.) and (ii) the company's net chargeable gains arising from the sale of capital assets. The rules governing expenses deductibility vary according to the type of income the expenses relate.
In general, all expenses that are not capital in nature and that are used for trading purposes are deductible. Local municipal taxes are generally deductible. Interest is deductible within the debt cap rules that apply to companies that are members of large groups. Most donations to charities are tax-deductible. Provisions for future costs can be deducted for tax purposes under certain conditions.

An R&D tax credit is available at 13% of R&D expenditure for large companies, while SMEs can claim a tax deduction of 230% of their R&D expenditure. A patent box regime is gradually being introduced over 5 years to allow companies to apply an effective 10% rate to all profits derived from qualifying patents. Special tax reliefs are available for expenditures on the production of movies, animation, video games, high-end TV show and orchestral concerts.

Operating losses can be offset by the profits of the current fiscal year while the exceeding loss can be carried forward to the previous year. Operating losses incurred prior to 1 April 2017 can be carried forward indefinitely and offset by operating profits from future tax years. Operating losses incurred after 1 April 2017 can be offset by any type of profit. In both cases, the carryforward is capped at 50% of profits above an intra-group limit of GBP 5 million per year.
Capital losses can only be offset by capital gains and their carryback is prohibited. For accounting periods ending on or after 1 April 2020, the use of carried-forward capital losses is limited to 50% of gains above a groupwide GBP 5 million allowance per year (shared between capital and non-capital losses).

Other Corporate Taxes
A general anti-abuse rule (GAAR) applies across a range of taxes on transactions made after 17 July 2013.

Profits that arise from oil or gas extraction, or oil or gas rights, in the United Kingdom and the UK Continental Shelf ("ring-fence profits") are subject to tax in the United Kingdom (a full rate of 30% for profits over GBP 300,000 and a reduced rate of 19% for profits below that amount). Such activities also attract 100% capital allowances on most capital expenditure. A supplementary tax charge of 10% applies to "adjusted" ring-fence profits in addition to ordinary corporate income tax.

An annual tax on enveloped dwellings (ATED) is charged on the acquisition and holding of high-value residential properties (property over GBP 500,000) through a company or other "non-natural" person. The minimum charge is GBP 3,700 for a property valued at GBP 500,000 (minimum value for 2020/21).

A bank levy is applied at 0.1% for short-term chargeable liabilities and 0.05% for long-term chargeable equity and liabilities. The first GBP 20 million or chargeable liabilities is exempt. Bank profits are also subject to an 8% supplementary tax charge on profits above GBP 25 million.
Most insurance premiums are taxed at 12% (life assurance and other long-term insurance are exempt).

There are several environmental taxes, including: a Landfill tax, a Climate change levy and an Aggregates levy.

Social security contributions made by the employer amount to 13.8% on all earnings above GBP 169 per week (the first GBP 3,000 being exempt).
Employers are required to pay 0.5% of their total payroll in excess of GBP 3 million to create a fund to support apprenticeships (with an annual allowance of GBP 15,000 to offset against payment of the levy).

The stamp duty land tax (SDLT) is charged in England and Northern Ireland on transfers of real property, with rates varying between 0% and 12% for residential properties (15% if the property is valued at more than GBP 500,000) and 0% to 5% for non-residential properties.
Similar taxes - the land and buildings transaction tax (LBTT) and land transaction tax (LTT) - are charged on Scottish and Welsh property, respectively. As a temporary measure in light of the COVID-19 pandemic, the nil rate bands for SDLT, LBTT, and LTT on purchases of residential property are temporarily increased until 31 March 2021, and an additional 2% surcharge will also apply to the acquisition of residential property by non-resident purchasers from 1 April 2021.
A stamp duty payable by the transferee is charged at 0.5% on instruments effecting sales of shares.

A Digital services tax (DST) is levied at a rate of 2% on the revenues of large businesses that provide a social media platform, search engine, or online marketplace to UK users. The tax applies to companies with an annual turnover above GBP 500,000, of which more than GBP 25 million is linked to the participation of UK users.

A diverted profits tax, at a rate of 25%, applies where multinational companies use artificial arrangements to divert profits overseas to avoid UK tax.

Shipping companies can choose to pay tonnage tax in lieu of the normal corporation tax.

For further details, consult the dedicated page on the official governmental portal.

Other Domestic Resources
HM Revenue & Customs
Consult the Doing Business website, to obtain a summary of the taxes and mandatory contributions.

Country Comparison For Corporate Taxation

  United Kingdom OECD United States Germany
Number of Payments of Taxes per Year 9.0 10.1 10.6 9.0
Time Taken For Administrative Formalities (Hours) 114.0 163.6 175.0 218.0
Total Share of Taxes (% of Profit) 30.6 41.6 36.6 48.8

Source: Doing Business, Latest available data.

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Individual Taxes

Tax Rate

Income tax rate 2021/22
Progressive rate up to 45%
GBP 0 - 12,570 0%
GBP 12,570 - 37,700 20% (Basic rate)
GBP 37,701 - 150,000 40% (Higher rate)
Over GBP 150,000 45% (Additional rate)
Dividend income
GBP 0 - 12,570 0%
GBP 12,571 - 37,700 7.5%
GBP 37,701 - 150,000 32.5%
Over GBP 150,000 38.1%
Allowable Deductions and Tax Credits
Tax relief can be claimed on personal allowances (the standard amount is GBP 12,570 for the 2020-21 tax year, which can be reduced for total income over GBP 100,000, or increased in case of a marriage allowance), work or business expenses and certain pension contributions, charity donations, maintenance payments and time spent working on a ship outside the UK. Contributions for pension schemes can be deducted, provided they respect certain conditions.
Income tax reliefs not subject to a specific restriction are capped at GBP 50,000 or 25% of an individual’s income, whichever is greater.

Necessary business expenses can be deducted from employment income and are not taxable if paid for or reimbursed by the employer.
Expenses that do not qualify for tax relief include: alimony, medical expenses, social security contributions, council tax and other UK taxes, most insurance premiums, mortgage interest payments (some relief for commercially let properties), fines and penalties (except for fines, such as parking penalties, incurred in the course of a trade), contingent liabilities.

For further information, consult the guide of the UK Government.

Special Expatriate Tax Regime
Where an individual is resident and domiciled in the UK, he or she is subject to UK income tax and capital gains tax on worldwide income and gains. Where an individual is resident but not domiciled in the UK, he or she is also subject to UK income tax on worldwide income but may choose to pay tax on foreign income and capital gains on a remittance basis, subject to a supplementary charge. Non-resident individuals are taxed on UK-sourced income and capital gains realized from the disposal of UK residential property.

Residents who are not domiciled or deemed domiciled in the UK may make a claim for the remittance basis of taxation to apply to overseas income, in exchange for an additional tax liability of GBP 30,000 per annum for taxpayers who have been UK resident for seven out of the previous nine tax years, rising to GBP 60,000 once resident for twelve out of the previous fourteen tax years. Click here for more information.
Expatriate allowances are included in taxable income but may be available for exemption for certain subsistence expenses.

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Double Taxation Treaties

Countries With Whom a Double Taxation Treaty Have Been Signed
UK Tax Treaties
Withholding Taxes
Dividends: 0% (20% for dividends paid by a real estate investment fund on its tax-exempt rental income), Interest: 20% for non-residents, Royalties: 0% (resident company)/20% (resident individual and non-residents).

Rates can be lower as part of a tax treaty.

Bilateral Agreement
Spain and the United Kingdom signed a Double Taxation Treaty.

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Find out more about Taxes and Accounting in the United Kingdom on GlobalTrade.net, the Directory for International Trade Service Providers.

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Actualitzacions: May 2022

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