The additional loss relief available to companies (and unincorporated business entities) has been extended to 23 November 2010 (5 April 2010 for unincorporated business entities). This will help some businesses to get back a tax refund earlier than usual, helping with their cash flow. Many companies will benefit from corporation tax rates remaining unchanged for the current financial year (1 April 2009 to 31 March 2010).  However, if the smaller companies' rate of corporation tax increases by 1% from 1 April 2010, this will leave many of these companies with less money for planning and investment:

• The smaller companies' rate tax remains at 21% from 1 April 2009. A 1% increase to 22% had previously been deferred to 1 April 2010, but was not referred to this time around by the Chancellor

The full rate of corporation tax remains at 28% from 1 April 2009, and is proposed to remain at this level through to 31 March 2011.