| |
2008-09 |
2007-08 |
| Starting rate band to (savings income only) |
£2320* |
£2230 |
| Tax rate (savings income only) |
10% |
10% |
| Basic rate band - next |
£34800 |
£32370 |
| Non-savings rate |
20% |
22% |
| Savings Rate |
20% |
20% |
| UK dividend rate |
10% |
10% |
| Higher rate - income over |
£34800 |
£34600 |
| Higher tax rate |
40% |
40% |
| UK dividend rate |
32.5% |
32.5% |
| Allowances that reduce Taxable Income |
|
|
| Personal allowances (PA)- under 65 |
£6035 |
£5225 |
| Personal allowances - 65 to 74 |
£9030 |
£7550 |
| Personal allowances - 75 and over |
£9180 |
£7690 |
| Allowances that reduce Tax |
|
|
| Married couple's allowance (MCA) |
|
|
| Tax reduction - 72-74 |
£653.50 |
£628.50 |
| Tax reduction - 75 and over |
£662.50 |
£636.50 |
| The age related allowances are progressively withdrawn if income exceeds |
£21800 |
£20900 |
| Minimum PA |
£6035 |
£5225 |
| Minimum MCA tax reduction |
£254 |
£244 |
| Ages are as at the end of the tax year. |
|
|
| Tax Shelters |
|
|
| Enterprise Investment Scheme (EIS) |
£500000 |
£400000 |
| Venture Capital Trust (VCT) |
£200000 |
£200000 |
| "Rent a Room" exempt on gross annual rent |
£4250 |
£4250 |
| Construction Industry Scheme deduction rate |
20% / 30% |
20% / 30% |