Tax Rates 2019/2020 

 Personal Allowances 

Personal Allowance£12,500
Dividend Allowance£2,000
Personal Savings Allowance (Basic Rate Taxpayers)£1,000
Personal Savings Allowance (Higher Rate Taxpayers)£500

The Personal Allowance is the amount of income a person can get before they pay tax.

Income Limits For Tapering

The Personal Allowance goes down by £1 for every £2 of income above the £100,000 limit. It can go down to zero.

Income Limits For Tapering£100,000
Income Limit (Born before 6 April 1948)*£29,600

Married Couples Allowance 

Married Couple’s Allowance could reduce your tax bill each year if you’re married or in a civil partnership.

Married Couple’s Allowance could reduce your tax bill by between £345 and £891.50 a year.

You can claim Married Couple’s Allowance if all the following apply:

  • you’re married or in a civil partnership
  • you’re living with your spouse or civil partner
  • one of you was born before 6 April 1935

If you marry or register a civil partnership, you’ll get the allowance on a pro-rata basis for the rest of that tax year.

If one of you dies or you divorce or separate, the allowance continues until the end of the tax year. You can transfer your Married Couple’s Allowance to your spouse or civil partner.

If you and your spouse or civil partner are separated through circumstance rather than through a decision to formally separate, you can still claim Married Couple’s Allowance.

Married Couples Allowance£8,915
Minimum Married Couples Allowance£3,450

Transferable Tax Allowance 

Marriage Allowance lets you transfer £1,250 of your Personal Allowance to your husband, wife or civil partner – if they earn more than you.

Marriage Allowance£1,250
Blind Person’s Allowance£2,450

You can transfer the Blind Person’s Allowance, or the unused part of it, to your spouse or civil partner if you don’t pay tax or can’t use all of it. This can be done whether or not they are blind. If both you and your spouse or civil partner qualifies for Blind Person’s Allowance you can claim an allowance each.

Claims can be backdated by up to 4 years


Student Loans Thresholds and Repayment Rates 

Thresholds and Rates for Plan 1 (pre-Sep 2012) and Plan 2 (post-Sep 2012).

Plan 1 £18,935 (9%)
Plan 2 £25,725 (9%)

Income Tax Bands and Percentages 

Starting rate for savings

You may also get up to £5,000 of interest tax-free. This is your starting rate for savings.

The more you earn from other income (for example your wages or pension), the less your starting rate for savings will be.

If your other income is £17,500 or more

You’re not eligible for the starting rate for savings if your other income is £17,500 or more.

If your other income is less than £17,500

Your starting rate for savings is a maximum of £5,000. Every £1 of other income above your Personal Allowance reduces your starting rate for savings by £1.

BandLimitsPercentage
Starting Rate (Savings only *)£0 – £5,0000%
Basic Rate£0 – £37,50020%
Higher Rate£37,501 – £150,00040%
Additional/Top RateOver £150,00045%

Scotland Income Tax Bands and Percentages 

Starting rate for savings

You may also get up to £5,000 of interest tax-free. This is your starting rate for savings.

The more you earn from other income (for example your wages or pension), the less your starting rate for savings will be.

If your other income is £17,500 or more

You’re not eligible for the starting rate for savings if your other income is £17,500 or more.

If your other income is less than £17,500

Your starting rate for savings is a maximum of £5,000. Every £1 of other income above your Personal Allowance reduces your starting rate for savings by £1.

BandLimitsPercentage
Starting Rate (Savings only *)£0 – £5,0000%*
Starter Rate£0-£2,04919%
Basic Rate£2,050 – £12,44420%
Intermediate Rate£12,445 – £30,93021%
Higher Rate£30,931 – £150,00041%
Additional/Top RateOver £150,00046%

Dividend Tax Bands and Percentages 

BandLimitsPercentage
Ordinary Rate£0 – £37,5007.5%
Upper Rate£37,501 – £150,00032.5%
Additional/Top RateOver £150,00038.1%

National Insurance Rates and Allowances 

To find your classification look up your NIC letter on your payslip/return.

Shared Banding For All NICs

Lower Earnings Limit (Weekly)£118
Upper Accrual Point (Weekly)£770
Upper Earnings Limit (Weekly)£962
Primary Threshold (Weekly)£166
Secondary Threshold (Weekly)£166

Rates for Class 1 NICs

Between Primary Threshold and Upper Earnings Limit12%
Above Upper Earnings Limit2%
Employers’ Rate Above Secondary Threshold13.8%
Class 1A Rate On Employer Provided Benefits13.8%
Employees’ Contracted Out Rebate4%
Employers’ Contracted Out Rebate3.4%
Married Women’s Reduced Rate Between Primary and Upper Earnings5.85%
Married Women’s Reduced Rate Above Upper Earnings2%

Self Employed Class 2 and Class 4 NICs

Class 4 Lower Profits Limit (Annual)£8,632
Class 4 Upper Profits Limit (Annual)£50,000
Class 4 Rate Between Lower and Upper Profits9%
Class 4 Rate Above Upper Profits2%
Class 2 Earnings Exception Limit£6,365
Class 2 Weekly Amount£3.00
Class 2 Weekly Amount (Share Fisherman)£3.65
Class 2 Weekly Amount (Volunteer Development Workers)£5.90

Voluntary Class 3 NICs 

Weekly rate£15.00

Corporation Tax Rates and Limits 

Marginal relief has been eliminated since 2015/16, Corporation Tax has been set at 19% for all company sizes.

Small Profits Raten/a
Main Rate19%
Small Profits Limit£n/a
Marginal Relief Lower Limit£n/a
Marginal Relief Upper Limit£n/a
Marginal Relief Fractionn/a

Capital Gains Tax Rates and Annual Exempt Amounts 

Annual Exempt Amount 

Individuals, Personal Reps and Trustees for Disable People£12,000
Other Trustees£6,000

CGT Tax Rates 

Individuals – Basic Rate Taxpayer (Residential Property)18%
Individuals – Higher Rate Taxpayer (Residential Property)28%
Individuals – Basic Rate Taxpayer (Other Gains) 10%
Individuals – Higher Rate Taxpayer (Other Gains)20%
Personal Representative of a Deceased Individual (Residential Property)28%
Personal Representative of a Deceased Individual (Other Gains)20%
Gains Qualifying for Entrepreneurs’ Relief10%