Deferred Tax Explained: A UK Guide for Small Companies
Deferred tax is the line in your company accounts that nobody pays and almost nobody explains. It is not a bill from HMRC. It is the accounts catching up with tax you have put off, usually by claiming capital allowances faster than you depreciate. Here is how it works, a five year worked example, the rate question for marginal relief companies, and where it actually costs owner-managers money.
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