KNOW ABOUT
Rates And Allowances
Income tax, capital gains tax, inheritance tax and pension schemes
Personal Allowances
| Allowances | 2021 to 2022 | 2020 to 2021 | 2019 to 2020 | 2018 to 2019 |
| Personal Allowance | £12,570 | £12,500 | £12,500 | £11,850 |
| 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 | 2021 to 2022 | 2020 to 2021 | 2019 to 2020 | 2018 to 2019 |
| Married Couple’s Allowance – maximum amount | £9,125 | £9,075 | £8,915 | £8,695 |
| Married Couple’s Allowance – minimum amount | £3,530 | £3,510 | £3,450 | £3,360 |
| Blind Person’s Allowance | £2,520 | £2,500 | £2,450 | £2,390 |
Tax rates and bands
| Band | Rate | Income after allowances 2021 to 2022 | Income after allowances 2020 to 2021 | Income after allowances 2019 to 2020 | Income after allowances 2018 to 2019 |
| Starting rate for savings | 10% (0% from 2015 to 2016) | Up to £5,000 | Up to £5,000 | Up to £5,000 | Up to £5,000 |
| Starter rate in Scotland | 19% | Up to £2,097 | Up to £2,085 | Up to £2,049 | Up to £2,000 |
| Basic rate in Scotland | 20% | £2,098 to £12,726 | £2,086 to £12,658 | £2,050 to £12,444 | £2,001 to £12,150 |
| Basic rate in England & Northern Ireland | 20% | Up to £37,700 | Up to £37,500 | Up to £37,500 | Up to £34,500 |
| Basic rate in Wales | 20% | Up to £37,700 | Up to £37,500 | Up to £37,500 | Up to £34,500 |
| Intermediate rate in Scotland | 21% | £12,727 to £31,092 | £12,659 to £30,930 | £12,445 to £30,930 | £12,151 to £31,580 |
| Higher rate in Scotland | 40% (41% from 2018 to 2019) |
£31,093 to £150,000 | £30,931 to £150,000 | £30,931 to £150,000 | £31,581 to £150,000 |
| Higher rate in England & Northern Ireland | 40% | £37,701 to £150,000 | £37,501 to £150,000 | £37,501 to £150,000 | £34,501 to £150,000 |
| Higher rate in Wales | 40% | £37,701 to £150,000 | £37,501 to £150,000 | £37,501 to £150,000 | £34,501 to £150,000 |
| Top rate in Scotland | 46% | Over £150,000 | Over £150,000 | Over £150,000 | Over £150,000 |
| England & Northern Ireland Additional rate | 45% | Over £150,000 | Over £150,000 | Over £150,000 | Over £150,000 |
| Wales Additional rate | 45% | Over £150,000 | Over £150,000 | Over £150,000 | Over £150,000 |
Dividends
The following rates for tax on dividends apply from 6 April 2010 to 5 April 2016:
| Band | Dividend tax rates |
| Basic rate (and non-taxpayers) | 7.5% |
| Higher rate | 32.5% |
| Additional rate (from 6 April 2013) | 38.1% |
| Additional rate (dividends paid before 6 April 2013) | 42.5% |
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 |