Income tax, capital gains tax, inheritance tax and pension schemes
Personal Allowances
| Allowances | 2023 to 2024 | 2022 to 2023 | 2021 to 2022 | 2020 to 2021 |
|---|---|---|---|---|
| Personal Allowance | £12,570 | £12,570 | £12,570 | £12,500 |
| Income limit for Personal Allowance | £100,000 | £100,000 | £100,000 | £100,000 |
Personal Allowances for people born before 6 April 1948
| Allowances | 2015 to 2016 | 2014 to 2015 | 2013 to 2014 |
|---|---|---|---|
| Personal Allowance for people born between 6 April 1938 and 5 April 1948 | £10,600 | £10,500 | £10,500 |
| Personal Allowance for people born before 6 April 1938 | £10,660 | £10,660 | £10,660 |
| Income limit for Personal Allowance | £27,700 | £27,000 | £26,100 |
Other allowances
| Allowances | 2023 to 2024 | 2022 to 2023 | 2021 to 2022 | 2020 to 2021 |
|---|---|---|---|---|
| Married Couple’s Allowance – maximum amount | £10,375 | £9,415 | £9,125 | £9,075 |
| Married Couple’s Allowance – minimum amount | £4,010 | £3,640 | £3,530 | £3,510 |
| Blind Person’s Allowance | £2,870 | £2,600 | £2,520 | £2,500 |
Tax rates and bands
| Band | Rate | Income after allowances 2023 to 2024 |
Income after allowances 2022 to 2023 |
Income after allowances 2021 to 2022 |
Income after allowances 2020 to 2021 |
|---|---|---|---|---|---|
| Starting rate for savings | 10% | Up to £5,000 | Up to £5,000 | Up to £5,000 | Up to £5,000 |
| Starter rate in Scotland | 19% | Up to £2,162 | Up to £2,162 | Up to £2,097 | Up to £2,085 |
| Basic rate in Scotland | 20% | £2,163 to £13,118 | £2,163 to £13,118 | £2,098 to £12,726 | £2,086 to £12,658 |
| Basic rate in England & Northern Ireland | 20% | Up to £37,700 | Up to £37,700 | Up to £37,700 | Up to £37,500 |
| Basic rate in Wales | 20% | Up to £37,700 | Up to £37,700 | Up to £37,700 | Up to £37,500 |
| Intermediate rate in Scotland | 21% | £13,119 to £31,092 | £13,119 to £31,092 | £12,727 to £31,092 | £12,659 to £30,930 |
| Higher rate in Scotland | 42% | 31,093 to £125,140 | £31,093 to £150,000 | £31,093 to £150,000 | £30,931 to £150,000 |
| Higher rate in England & Northern Ireland | 40% | £37,701 to £125,140 | £37,701 to £150,000 | £37,701 to £150,000 | £37,501 to £150,000 |
| Higher rate in Wales | 40% | £37,701 to £125,140 | £37,701 to £150,000 | £37,701 to £150,000 | £37,501 to £150,000 |
| Top rate in Scotland | 47% | Over £125,141 | Over £150,000 | Over £150,000 | Over £150,000 |
| England & Northern Ireland Additional rate | 45% | Over £125,141 | Over £150,000 | Over £150,000 | £150,000 |
| Wales Additional rate | 45% | Over £125,141 | Over £150,000 | Over £150,000 | Over £150,000 |
Income Tax rates and Bands
For the tax year 2023/2024, the tax rates and thresholds for individuals in the UK are as follows:
| Band | Income Tax Rates |
|---|---|
| Personal Allowance Up to £12,570 | 0% |
| Basic Rate: (£12,571 to £50,270) | 20% |
| Higher Rate: (£50,271 to £125,140) | 40% |
| Additional Rate (Over £125,140) | 45% |
Dividend allowance
| Tax year | Dividend allowance |
|---|---|
| 6 April 2023 to 5 April 2024 | £1,000 |
| 6 April 2022 to 5 April 2023 | £2,000 |
| 6 April 2021 to 5 April 2022 | £2,000 |
| 6 April 2020 to 5 April 201 | £2,000 |
Capital gain tax Allowance:
AEA limits
You can use your AEA against the gains charged at the highest rates to reduce the amount of tax you owe.
| Customer group | 2014 to 2015 | 2015 to 2016 | 2016 to 2017 | 2017 to 2018 | 2018 to 2019 | 2019 to 2020 | 2020 to 2021 |
|---|---|---|---|---|---|---|---|
| Individuals, personal representatives and trustees for disabled people | £11,000 | £11,100 | £11,100 | £11,300 | £11,700 | £12,000 | £12,300 |
| Other trustees | £5,500 | £5,550 | £5,550 | £5,650 | £5,850 | £6,000 | £6,150 |
From 6 April 2016 there’s a new dividend allowance.