11. Taxation and Regulation

Corporation Tax — Quiz

Test your understanding of corporation tax with 5 practice questions.

Practice Questions

Question 1

A company has an accounting profit of $ \text{£} 250,000 $. It has non-allowable expenses of $ \text{£} 20,000 $ and capital allowances of $ \text{£} 35,000 $. What is the taxable profit?

Question 2

Which of the following is an example of an allowable deduction for corporation tax purposes?

Question 3

A company has a taxable profit of $ \text{£} 400,000 $. The corporation tax rate is $ 19\% $. What is the corporation tax liability?

Question 4

A company’s accounting profit is $ \text{£} 150,000 $. It has allowable deductions of $ \text{£} 20,000 $ and non-allowable expenses of $ \text{£} 10,000 $. What is the taxable profit?

Question 5

Which of the following best describes the treatment of capital allowances in corporation tax computation?