Personal Tax
| Income tax | 2023/24 | 2022/23 | 2021/22 | 2020/21 |
|---|---|---|---|---|
| Personal Allowance | 12,570 | 12,570 | 12,570 | 12,500 |
| Transferable marriage allowance | TBC | 1,257 | 1,257 | 1,250 |
| Savings rate band | 5,000 | 5,000 | 5,000 | 5,000 |
| Savings rate (from 6 April 2016 0% PSA*) | 0% | 0% | 0% | 0% |
| Basic rate band (20%) | 37,700 | 37,700 | 37,700 | 37,500 |
| Start to lose child benefit (from 7/1/13) | 50,000 | 50,000 | 50,000 | 50,000 |
| Lose all child benefit above | 60,000 | 60,000 | 60,000 | 60,000 |
| Lose personal allowance at | 100,000 | 100,000 | 100,000 | 100,000 |
| Additional rate on earnings over (45%) | 125,140 | 150,000 | 150,000 | 150,000 |
| Rent a room limit | 7,500 | 7,500 | 7,500 | 7,500 |
| Trading allowance | 1,000 | 1,000 | 1,000 | 1,000 |
| Property allowance | 1,000 | 1,000 | 1,000 | 1,000 |
Salary and Dividends
| Salary and dividends | 2023/24 | 2022/23 | 2021/22 | 2020/21 |
|---|---|---|---|---|
| Employers NI threshold (per month) | 758 | 758 | 736 | 732 |
| Optimum annual salary [A] | 11,904 | 11,904 | 8,832 | 8,784 |
| Personal allowance + basic rate | 50,270 | 50,270 | 50,270 | 50,000 |
| Remaining after deducting [A] | 38,366 | 38,366 | 41,438 | 41,216 |
| Net dividends (within basic rate) | 38,366 | 38,366 | 41,438 | 41,216 |
| Dividend Tax Allowance | 1,000 | 2,000 | 2,000 | 2,000 |
| Dividend tax rate basic rate taxpayers | 8.75% | 8.75% | 7.5% | 7.5% |
| Dividend tax rate higher rate taxpayers | 33.75% | 33.75% | 32.5% | 32.5% |
| Dividend tax rate additional rate taxpayers | 39.35% | 39.35% | 38.1% | 38.1% |
National Insurance
| National Insurance | 2023/24 | 2022/23 | 2021/22 | 2020/21 |
|---|---|---|---|---|
| Employees NI rate | 12% | 12% (13.25% between July and October) | 12% | 12% |
| Employers NI rate | 13.8% | 13.8% (15.05% between July and October) | 13.8% | 13.8% |
| Lower earnings limit | 6,396 | 6,396 | 6,240 | 6,240 |
| Upper earnings limit | 50,270 | 50,270 | 50,270 | 50,000 |
| Primary threshold | 12,570 | 12,570 | 9,568 | 9,500 |
| Secondary threshold | 9,096 | 9,096 | 8,840 | 8,788 |
| Self employed NI rate | 9% | 9% | 9% | 9% |
| Self employed NI lower limit | 12,570 | 12,570 | 9,568 | 9,500 |
| Self employed NI upper limit (2% NI above this) | 50,270 | 50,270 | 50,270 | 50,000 |
| Small earnings exemption | 6,725 | 6,725 | 6,515 | 6,475 |
| Class 2 (per week) | 3.45 | 3.15 | 3.05 | 3.05 |
| Student loan threshold (pre-2012) Plan 1 | TBC | 20,184 | 19,884 | 19,390 |
| Student loan threshold (post-2012, England and Wales only) Plan 2 | TBC | 27,288 | 27,288 | 26,575 |
| Student loan rate (pre-2012) | 9% | 9% | 9% | 9% |
| Employment Allowance (deduction from Employers NI) | 5,000 | 5,000 | 4,000 | 4,000 |
Capital Gains Tax
| Capital Gains Tax | 2023/24| 2022/23 | 2021/22 | 2020/21 |
|
|---|---|---|---|---|
| Capital gains tax annual exemption | 6,000 | 12,300 | 12,300 | 12,300 |
| Capital gains tax rates (Residential property) | 18%/28% | 18%/28% | 18%/28% | 18%/28% |
| Capital gains tax rates (Other) | 10%/20% | 10%/20% | 10%/20% | 10%/20% |
VAT
| VAT thresholds: | 2023/24 | 2022/23 | 2021/22 | 2020/21 |
|---|---|---|---|---|
| Registration | 85,000 | 85,000 | 85,000 | 85,000 |
| Deregistration | 83,000 | 83,000 | 83,000 | 83,000 |
| Flat rate scheme: Joining (excluding VAT) | 150,000 | 150,000 | 150,000 | 150,000 |
| Flat rate scheme: Leaving (including VAT) | 230,000 | 230,000 | 230,000 | 230,000 |
| Cash accounting: Joining | 1,350,000 | 1,350,000 | 1,350,000 | 1,350,000 |
| Cash accounting: Leaving | 1,600,000 | 1,600,000 | 1,600,000 | 1,600,000 |
| VAT rate: | 20% | 20% | 20% | 20% |
Company Tax
| Corporation tax rates | 2023/24 | 2022/23 | 2021/22 | 2020/21 |
|---|---|---|---|---|
| Main rate (Rate to increase from 1 April 2023 up to 25% if profits over £250,000) | 25% (Over £250k profit) 25% minus marginal relief (Between £50k and £250k profit) 19% (Up to £50k profit) | 19% | 19% | 19% |
| Capital Allowances | 2023/24 | 2022/23 | 2021/22 | 2020/21 |
| AIA limit | 1,000,000 | 1,000,000 | 1,000,000 | 1,000,000 |
| Standard main pool rate | 18% | 18% | 18% | 18% |
| Special rate (integral features and long term) | 8% | 8% | 8% | 6% |
| Small pool write off | 1,000 | 1,000 | 1,000 | 1,000 |
