This guide breaks down UK tax rates and thresholds for sole traders, limited companies, partnerships, employers, and other business owners. While paying tax is unavoidable for most people, the rules around how and when tax applies can be confusing—especially if you run a business or earn income in more than one way.

Depending on your situation, you may need to understand several different taxes, including Income Tax, Corporation Tax, VAT, Dividend Tax, and National Insurance.

How your business is structured plays a major role in determining: