Income Tax

Rates 16/17 17/18
Basic rate of 20% on income up to : UK (excl. Scotland) £32,000 £33,500
Scotland £32,000 £31,500*
Higher rate of 40% on income over: UK (excl. Scotland) £32,000 £33,500
Scotland £32,000 £31,500*
Additional rate of 45% on income over: all UK £150,000 £150,000
Starting rate of 0% on savings income up to** £5,000 £5,000
Savings allowance at 0% tax · Basic rate taxpayers · Higher rate taxpayers · Additional rate taxpayers £1,000 £500 £0 £1,000 £500 £0
Dividend allowance at 0% tax – all individuals £5,000 £5,000
Tax rate on dividend income
  • Basic rate taxpayers 
  • Higher rate taxpayers
  • Additional rate taxpayers
7.5% 7.5%
32.5% 32.5%
38.1% 38.1%
Trusts: Standard rate band generally £1,000 £1,000
Rate applicable to trusts: dividends 38.1% 38.1%
other income 45% 45%
* For non-dividend, non-savings income only: otherwise UK (excl. Scotland) band applies
**Not available if taxable non-savings income exceeds the starting rate band.
   
Child Benefit Charge: 1% of benefit per £100 of income between £50,000 and £60,000

 

 

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