Income Tax Allowances
|
|
2007-08 (£) |
2008-09 (£) |
|
Personal allowance |
5,225 |
5,435 |
|
Personal allowance for people aged 65-74 (1) |
7,550 |
9,030 |
|
Personal allowance for people aged 75 and over (1) |
7,690 |
9,180 |
|
Married couple's allowance (born before 6th April 1935 but aged under 75) (1) (2) |
6,285 |
6,535 |
|
Married couple's allowance - aged 75 and over (1) (2) |
6,365 |
6,625 |
|
Income limit for age-related allowances |
20,900 |
21,800 |
|
Minimum amount of married couple's allowance |
2,440 |
2,540 |
|
Blind person's allowance |
1,730 |
1,800 |
(1) - These allowances reduce where the income is above the income limit by £1 for every £2 of income above the limit. They will never be less than the basic Personal allowance or minimum amount of Married Couple's allowance.
(2) - Tax relief for the Married Couple's allowance is given at the rate of 10 per cent.
Tax Bands
|
|
2007-08 (£) |
2008-09 (£) |
|
Starting rate 10% |
0 - 2,230 |
abolished |
|
Basic rate 22% 2007-8/20% 2008-9 |
2,231 - 34,600 |
0 - 36,000 |
|
Higher rate 40% |
over 34,600 |
over 36,000 |
National Insurance
| £ per week |
2007-08 |
2008-09 |
| Lower earnings limit, primary Class 1 |
£87 |
£90 |
| Upper earnings limit, primary Class 1 |
£670 |
£770 |
|
Primary threshold |
£100 |
£105 |
| Secondary threshold |
£100 |
£105 |
|
Employees' primary Class 1 rate between primary threshold and upper earnings limit |
11% |
11%
|
|
Employees' primary Class 1 rate above upper earnings limit |
1% |
1% |
|
Employees' contracted-out rebate |
1.6% |
1.6%
|
|
Married women's reduced rate between primary threshold and upper earnings limit |
4.85% |
4.85%
|
|
Married women's rate above upper earnings limit |
1% |
1% |
|
Employers' secondary Class 1 rate above secondary threshold |
12.8% |
12.8% |
|
Employers' contracted-out rebate, salary-related schemes |
3.7% |
3.7% |
|
Employers' contracted-out rebate, money-purchase schemes |
1.4% |
1.4% |
|
Class 2 rate |
£2.20 |
£2.30 |
|
Class 2 small earnings exception |
£4,635 per year |
£4,825 per year |
|
Special Class 2 rate for share fishermen |
£2.85 |
£2.95 |
|
Special Class 2 rate for volunteer development workers |
£4.35 |
£4.50 |
|
Class 3 rate |
£7.80 |
£8.10 |
|
Class 4 lower profits limit |
£5,225 per year |
£5,435 per year |
|
Class 4 upper profits limit |
£34,840 per year |
£40,040 per year |
|
Class 4 rate between lower profits limit and upper profits limit |
8% |
8% |
|
Class 4 rate above upper profits limit |
1% |
1% |
Capital Gains Tax: Individuals and Trustees
|
Annual exempt amount |
2006-07 (£) |
2007-08 (£) |
2008-09 (£) |
| Individuals etc* |
8 800 |
9 200 |
9 600 |
| Other trustees |
4 400 |
4 600 |
4 800 |
Inheritance Tax
| Charges on or after 6th April 2008 |
Rates % |
Charges between 6th April 2007 and 5th April 2008 |
| 0 - £312,000 |
NIL |
0 - £300,000 |
| Above £312,000 |
40% |
Above £300,000 |
Corporation Tax
| |
Year to 31.3.2009 |
31.3.2008 |
| |
|
Main rate |
30% |
30% |
| on Profits above |
£1.5m |
£1.5m |
| |
|
|
| Small companies rate |
21% |
20% |
| on Profits between |
£0 - £300k |
£0 - £300k |
| |
|
|
| Small/large marginal band |
£300k - £1.5m |
£300k - £1.5m |
| Fraction (effective rate) |
7/400 |
1/40(32.5%) |
Published with the consent of HMSO - Inland Revenue copyright is acknowledged
