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Tax liability means one is responsible for paying something to the taxing authority. It covers not only income tax but also other types of capital gains, self-employment taxes and the related interests and penalties.
The instalment agreement one enters into the last year’s taxes is payable with interest, so the interest can be added to the total tax liability.
At the Summer Budget 2015, the government announced to set the Corporation tax rate at 19% for the years from 1 April 2017, 2018 and 2019 and 18% for the tax year starting 1 April 2020.
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