      |
 |
|||||||||||||||||||
 |
||||||||||||||||||||
|
||||||||||||||||||||
Home > > Tax rates and allowances > Income tax
Income tax
<
| Tax bands and rates | 2013/14 | 2012/13 | |
| Basic rate band | £32,010 | £34,370 | |
| Basic tax rate | 20% | 20% | |
| Dividend ordinary tax rate | 10% | 10% | |
| Savings rate band | £2,790 | £2,710 | |
| Savings rate | 10% | 10% | |
| Higher rate band | £32,011-£150,000 | £34,371 - £150,000 | |
| Higher tax rate | 40% | 40% | |
| Dividend higher tax rate | 32.5% | 32.5% | |
| Additional rate band over | £150,000 | £150,000 | |
| Additional tax rate | 45% | 50% | |
| Dividend additional tax rate | 37.5% | 42.5% | |
| Allowances that reduce taxable income | |||
| Personal allowances | under 65 | £9,440 | £8,105 |
| 65 to 74 | £10,500 | £10,500 | |
| 75 and over | £10,660 | £10,660 | |
| Blind person's allowance | £2,160 | £2,100 | |
|
Age related allowances are reduced by £1 for each £2 of income above £26,100 (2012/13 £25,400), until the minimum of £9,440 (2012/13 £8,105) is reached. The minimum personal allowance is reduced, by £1 for each £2 of income from £100,000 (2012/13 - £100,000) to £118,880 (2012/13 - £116,210). |
|||
| Allowances that reduce tax | |||
| Married couple's allowance (MCA) | 79 and over (78 and over in 2012/13) | £7,915 | £7,705 |
| Tax reduction at 10% | £791.50 | £770.50 | |
|
The age for MCA is of the elder spouse or civil partner. The loss of tax reduction is 10p for each £2 of income above £25,400 (2012/13 £25,400) until the minimum of £304 (2012/13 £296) is reached. |
|||
| Non domicile charge | |||
| Charge for adult non UK domiciliary - applies after UK residence in seven or more of the previous tax years |
£50,000 | £50,000 | |
| Tax shelters | |||
|
Enterprise Investment Scheme (EIS) up to |
£1,000,000 | £1,000,000 | |
| Maximum amount for EIS carry back | £50,000 | £50,000 | |
| Income tax relief rate | 30% | 30% | |
| Seed Enterprise Investment Scheme (SEIS) | £100,000 | £100,000 | |
| Venture Capital Trust | £200,000 | £200,000 | |
| VCT tax relief rate | 30% | 30% | |
| Golden handshake max. | £30,000 | £30,000 | |
| Rent a room - exempt on gross annual rent up to | £4,250 | £4,250 | |
| Construction industry scheme - deduction rate | |||
| Standard rate - registered | 20% | 20% | |
| Higher rate - not registered | 30% | 30% | |
Did you know?
That the Treasury is expecting to raise £151.9 billion from income tax (2012/13 - £147.4 billion).
Main taxes
- Key dates and deadlines
- Income tax
- Corporation tax
- Inheritance tax
- Capital gains tax
- Value added tax
- National insurance contributions
- Residential property letting
- Main capital allowances
- Business deductions
- Penalties for late returns
- Trusts and settlements
- Non domiciled individuals
Vehicles
- Mileage allowances
- Vehicle benefits 2013/14
- Vehicle benefits 2012/13
- Vehicle benefits 2011/12
- Vehicle duties
Savings
Other taxes
Giving, credits and benefits
Register | Login | Logout | My Profile | Terms and Conditions Copyright © Lings Chartered Accountants. All rights reserved Comments or Technical Problems - email clientservices@lings-accountants.co.uk |
Registered to carry on audit work and regulated for a range of investment business activities by the Institute of Chartered Accountants in England and Wales. |