Sources

Published sources

• VAT rates on different goods and services HMRC. Covers: VAT.
• Corporation Tax rates and allowances HMRC. Covers: Corporation Tax, Marginal Relief.
• Marginal Relief for Corporation Tax HMRC. Covers: Marginal Relief, Associated companies.
• Income Tax rates and Personal Allowances GOV.UK. Covers: Income Tax, Personal Allowance.
• Income Tax in Scotland GOV.UK. Covers: Scottish Income Tax.
• National Insurance rates and categories HMRC. Covers: Employee NI, Employer NI.
• Employment Allowance GOV.UK. Covers: Employment Allowance.
• Self-employed National Insurance rates GOV.UK. Covers: Class 4 National Insurance.
• Tax on dividends GOV.UK. Covers: Dividend Allowance, Dividend tax.
• Late Payment of Commercial Debts (Interest) Act 1998 legislation.gov.uk. Covers: Statutory late payment interest, Fixed compensation.
• Late commercial payments: charging interest and debt recovery GOV.UK. Covers: Statutory interest, Fixed compensation bands.
• Official Bank Rate history Bank of England. Covers: Bank of England reference rate.
• Travel — mileage and fuel rates and allowances HMRC. Covers: Approved Mileage Allowance Payments, Passenger payments.
• Claim tax relief for your job expenses: vehicles you use for work GOV.UK. Covers: Mileage Allowance Relief.
• Simplified expenses if you're self-employed GOV.UK. Covers: Flat-rate vehicle mileage for the self-employed.
• Advisory fuel rates HMRC. Covers: Company car fuel rates, Advisory Electricity Rate.
• Tax on dividends GOV.UK. Covers: Dividend Allowance, Dividend tax rates.
• Register for VAT: when to register GOV.UK. Covers: VAT registration threshold, Rolling 12-month test, 30-day forward test.
• VAT Notice 700/1: who should register for VAT HMRC. Covers: Taxable turnover, Registration rules.
• Holiday entitlement GOV.UK. Covers: Statutory annual leave, Pro-rata entitlement.
• Calculating holiday entitlement for workers GOV.UK. Covers: 5.6 weeks, Irregular hours and part-year workers.
• Construction Industry Scheme: what contractors must do GOV.UK. Covers: CIS deduction rates, Verification.
• Construction Industry Scheme: CIS 340 guide HMRC. Covers: Materials, VAT exclusion, Payment and deduction statements.

Rates in use for 2026/27

Tax year 2026/27 runs from 6 April 2026 to 5 April 2027. These figures were last verified on 7 September 2026.

VAT

• Standard rate: 20%
• Reduced rate: 5%
• Zero rate: 0%

Corporation Tax

• Small profits rate: 19%
• Main rate: 25%
• Lower limit: £50,000
• Upper limit: £250,000
• Marginal Relief fraction: 3/200

Income Tax

• Personal Allowance: £12,570
• Tapered by £1 for every £2 of income above £100,000, reaching nil at £125,140
• England, Wales and Northern Ireland: 20%, 40% and 45% bands
• Scotland: separate bands from 19% to 48%

National Insurance

• Employee: 8% between £12,570 and £50,270, then 2%
• Employer: 15% above £5,000
• Employment Allowance: up to £10,500 per business
• Class 4 (self-employed): 6% between £12,570 and £50,270, then 2%

Dividends

• Dividend Allowance: £500
• Ordinary rate: 10.75%
• Upper rate: 35.75%
• Additional rate: 39.35%

Statutory late payment interest

Statutory interest on a late commercial debt is the Bank of England reference rate plus 8 percentage points, and statutory fixed compensation is £40, £70 or £100 depending on the size of the debt. The compensation bands and the 8 point margin are held centrally in the code.

Verified reference rates are configured for both 2026 periods: 1 January 2026 to 30 June 2026 and 1 July 2026 to 31 December 2026, each with a Bank of England reference rate of 3.75%, giving a statutory rate of 11.75% a year. Bank Rate is taken from the Bank of England Official Bank Rate history and the calculation rule from the Small Business Commissioner and GOV.UK. Only the 3.75% reference rate is stored; the 8 percentage point margin is added in code. Each record keeps its source, the six-month period it applies to and the date it was last checked (7 September 2026).

Calculators with no statutory figures

Margin & Markup, Break-Even, Business Bank Account Cost, Card Processing Fee, Day Rate to Salary and Cash Flow Runway are arithmetic tools. They contain no tax rates or statutory thresholds, so they carry no sources, only the assumptions set out on each page.

Always check the current position on GOV.UK before making a decision. Rates and thresholds can change at a Budget or fiscal event.