Key Tax Rates

 

 

Rates & Allowances          
 

2012/2013

2013/2014 2014/2015 2015/2016 2016/2017
Income Tax          
Personal Allowances          
age under 65 8,105 9,440 10,000 10,600 11,000
age 65 - 74 10,500 10,500 10,500 10,600 11,000
age 75 and over 10,600 10,600 10,660 10,660 11,000
Age-related income limit 25,400 26,100 27,000 27,700 N/A

 *Age allowance reduced by £1 for every £2 over the above income limit

           
Married couples - age 75+ 7,705 7,915 8,165 8,355 8,355
Transferable marriage allowance N/A N/A N/A 1,100 1,100
           
Income Tax Bands          
10% on savings up to 2,710 2,790 2,880 5,000

N/A

20% Basic rate up to 34,370 32,010 31,865 31,785 32,000
40% higher rate up to 34,371 - 150,000 32,011 - 150,000 31,866 - 150,000 31,786 - 150,000 32,001 - 150,000
Income limit on married couples allowance

 

 

    N/A

27,700

           
Dividends          
Basic rate / over  ( 5,000 ) 10% 10% 10% 10% ( 7.5% )
Higher rate 32.5% 32.5% 32.5% 32.5% 32.5%
           
National Insurance          
Class 1 - Employee          
No NIC's on the first £146 pw £149 pw £153 pw £156 pw £156 pw
Percentage payable 12% 12% 12% 12% 12%
Upper earnings limit £817 pw £797 pw £805 pw £815 pw £827 pw
Percentage payable 2% 2% 2% 2% 2%
           
Class 2 - Self Employed          
Flat rate per week £2.65 £2.70 £2.75 £2.80 £2.80
Small earnings exemption

5,595

5,725 5,885 5,965 5,965
           
Class 3 - Voluntary          
Flat rate per week £13.25 £13.55 £13.90 £14.10 £14.10
           
Class 4 - Self Employed          
Lower Limit 7,605 7,755 7,956 8,060 8,060
Percentage payable 9% 9% 9% 9% 9%
Upper Profits Limit 42,475 41,450 41,865 42,385 43,000
Percentage payable 2% 2% 2% 2% 2%
           
Capital Gains Tax          
Annual exempt amount 10,600 10,900 11,000 11,100 11,100
Basic rate taxed at 18% 18% 18% 18% 18%
Higher rate taxed at 28% 28% 28% 28% 28%
           
Corporation Tax          
Small companies rate 20% 20% 20% 20% 20%
           
Capital Allowances          
Written down allowance 18% 18% 8 / 18% 8 / 18% 8 / 18%
Annual investment allow. 100% 100% 100% 100% 100%
AIA Maximum Limit 50,000 25,000 500,000 500,000

200,000

           
Mileage Allowances          
Up to 10,000 miles 45p 45p 45p 45p 45p
Over 10,000 miles 25p 25p 25p 25p 25p