Always ensure that you are compiling proper records of all expense and receipt information of any costs your company incurs – this means that some of the money you spend you can claim back in capital allowances for certain types of company expense at the end of the tax year.

To discover whether your new business actually is likely to be liable for corporation tax – how much taxable profit the business makes – you need to inform the Inland Revenue by filling in a self-assessment tax form CT600.

Broadly speaking, there are three different corporation tax bands

• The Starting Rate band
• Small Companies Rate
• Full Rate

Good professional advice is essential to ensure that your tax liabilities are paid on time to avoid penalties and good tax planning can keep your tax bill down