Income Tax – England and Northern Ireland
Income Tax – England and Northern Ireland
Rates Of Tax | 2023/2024 | 2024/2025 |
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Starting rate for savings (Restricted to savings income only and not available if taxable non-savings income exceeds starting rate band.) | 0% | 0% |
Basic rate | 20% | 20% |
Higher rate | 40% | 40% |
Additional rate | 45% | 45% |
Dividends: | ||
For basic rate taxpayers | 8.75% | 8.75% |
For higher rate taxpayers | 33.75% | 33.75% |
For additional rate taxpayers | 39.35% | 39.35% |
Starting-rate limit (for savings income) | £5,000 | £5,000 |
Threshold of taxable income above which higher rate applies | £37,700 | £37,700 |
Threshold of taxable income above which additional rate applies | £125,140 | £125,140 |
Threshold above which child benefit charge applies (1% of benefit for every £200 of income over): | £50,000 | £60,000 |
Trusts | ||
De minimis amount for trusts (split between trusts created by the same Settlor - subject to a minimum of 1/5th) |
N/A | £500 |
Standard rate band (split between trust created by the same Settlor, subject to a minimum of 1/5th of the full amount) |
£1,000 | N/A |
Rate applicable to trusts: - Dividends | 39.35% | 39.35% |
Other income | 45% | 45% |
Personal Allowances | ||
Personal Allowance | £12,570 | £12,570 |
Income limit for Personal Allowance | £100,000 | £100,000 |
Personal Savings Allowance: | ||
For basic rate taxpayers | £1,000 | £1,000 |
For higher rate taxpayers | £500 | £500 |
For additional rate taxpayers | NIL | NIL |
Dividend Allowance (at 0%) | £1,000 | £500 |
Marriage Tax Allowance (for spouse/civil partners born on or after 6 April 1935) | Up to £1,260 | Up to £1,260 |
Married Couple's Allowance (maximum) at 10% † | £10,375 | £11,080 |
Married Couple's Allowance (minimum) at 10% † | £4,010 | £4,280 |
Income limit for age-related allowances *(applies to married couples allowance only) | £34,600* | £37,000* |
§ The Personal Allowance reduces by £1 for every £2 of income above the income limit irrespective of age.
† Where at least one spouse/civil partner was born before 6 April 1935.
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Enterprise Investment Scheme relief limit on £1,000,000 max | 30% | 30% |
Seed Enterprise Investment relief limit on £200,000 | 50% | 50% |
Venture Capital Trust relief limit on £200,000 max | 30% | 30% |