UK Small Business Tax Calculator 2025

Estimate how much tax your UK small business owes for the 2025–26 tax year. Covers Corporation Tax, self-employment tax, PAYE, National Insurance and dividends.

UK Small Business Tax Calculator

Estimate your small company’s Corporation Tax, dividends tax, and owner take-home for the 2025/26 tax year.

Additional Options

Estimates only — for guidance, not financial advice.

Ready
Corporation Tax £0.00
Dividend Tax £0.00
Total Tax £0.00
Owner Take-Home £0.00
Details Amount (£)
Business Profit Before Tax 0.00
Corporation Tax 0.00
Dividend Tax 0.00
Owner Take-Home 0.00

 

UK Small Business Tax Rates 2025–26

You can also estimate individual tax components using the Corporation Tax Calculator, Self-Employment Tax Calculator, Dividend Tax Calculator and PAYE Tax Calculator.

Corporation Tax (Limited Companies)
£0 – £50,000 19% (Small Profits Rate)
£50,001 – £250,000 Marginal Relief (19%–25%)
Over £250,000 25% (Main Rate)

HMRC corporation tax information: Corporation Tax Rates.

Income Tax (Self-Employed / Sole Traders)
Band Income Range Rate
Personal Allowance £0 – £12,570 0%
Basic Rate £12,571 – £50,270 20%
Higher Rate £50,271 – £125,140 40%
Additional Rate Over £125,140 45%
National Insurance (Self-Employed & Employees)
Class 2 (Self-Employed) Flat weekly rate
Class 4 (Self-Employed) 10% to £50,270 · 2% above
Class 1 (Employees) 10% to £50,270 · 2% above

HMRC NI guidance: Self-Employed NI Rates.

Dividend Tax
Dividend Allowance £1,000 tax-free
Basic Rate 8.75%
Higher Rate 33.75%
Additional Rate 39.35%

Tax rates vary depending on whether your business is a sole trader, partnership or limited company.

How Small Business Tax Works in the UK

UK small businesses can be taxed in different ways depending on their structure. This calculator considers each major tax category to estimate your total liability.

  • Sole Traders pay Income Tax, Class 2 and Class 4 National Insurance. Learn more: Self-Employed Tax.
  • Limited Companies pay Corporation Tax on profits.
  • Directors may pay both PAYE tax and dividend tax depending on remuneration. Try the Dividend Tax Calculator.
  • If you employ staff, you must deduct PAYE tax and NI. PAYE guide: PAYE Overview.
  • Business expenses reduce your taxable profit. HMRC guide: Allowable Expenses.

To calculate individual components separately, try the PAYE Tax Calculator or National Insurance Calculator.

Small Business Tax Examples

You may also find our Income Tax Calculator and VAT Calculator useful for business planning.

Sole Trader – £30,000 Profit
  • Income Tax: £3,486
  • NI (Class 2 & 4): ~£1,200
  • Total Tax: ~£4,686
Limited Company – £50,000 Profit
  • Corporation Tax (19%): £9,500
  • Total Tax: £9,500
LTD + Dividends – £80,000 Profit
  • Corporation Tax: ~£16,000
  • Dividends after tax: ~£64,000
  • Dividend Tax: ~£10,000
  • Total Tax: ~£26,000

Frequently Asked Questions

For a detailed breakdown of different calculators, visit All Calculators.

No — tax depends on whether you’re a sole trader, limited company, partnership or contractor. See HMRC business tax overview: Business Tax Guide.

No — limited companies pay Corporation Tax on profits, while individuals pay Income Tax on their earnings. Compare using our Income Tax Calculator and Corporation Tax Calculator.

This UK Small Business Tax Calculator uses official 2025–26 HMRC rates for Corporation Tax, Income Tax, National Insurance and dividend tax. For detailed director tax planning, see the Dividend Tax Calculator.