Income Tax

Current Income Tax rates

For more detailed information visit the HMRC Website

RATES 2019/20 2020/21 2021/22
Basic rate of 20% on income up to… £37,500 £37,500 £37,700
Higher rate of 40% on income… £37,501 to £150,000 £37,500 to £150,000 £37,700 to £150,000
Additional rate of 45% on income £150,000 £150,000 £150,000
Starting rate of 0% for savings up to £5,000 £5,000 £5,000
Dividends: basic rate taxpayers 7.5% 7.5% 7.5%
Higher rate taxpayers 32.5% 32.5% 32.5%
Additional rate taxpayers 38.1% 38.1% 38.1%
Trust rate 45% 45% 45%
Trust rate on first £1,000 20% (7.5%) 20% (7.5%) 20% (7.5%)
Trust rate on dividends 38.1% 38.1% 38.1%
PERSONAL ALLOWANCES 2019/20 2020/21 2021/22
Personal allowance £12,500 £12,500 £12,570
Income limit for personal allowance £100,000 £100,000 £100,000
Married couple’s/civil partnership allowance
– Maximum amount £8,915 £9,075 TBA
– Minimum amount £3,450 £3,510 TBA
Income limit for married couples/civil partnership allowance £29,600 £30,200 TBA
Marriage allowance £1,250 £1,250 £1,257
Blind person’s allowance £2,450 £2,500 TBA
Trading allowance £1,000 £1,000 £1,000
Property allowance £1,000 £1,000 £1,000

 

SAVINGS AND INVESTMENTS 2019/20 2020/21 2021/22
Dividend allowance £2,000 £2,000 £2,000
Personal savings allowance
– basic rate taxpayers £1,000 £1,000 £1,000
– higher rate taxpayers £500 £500 £500
– additional rate taxpayers £nil £nil £nil