Income tax rates and allowances
|Personal allowance for people born after 5 April 1948||£12,500||£12,500|
|Income limit for personal allowance (1)||£100,000||£100,000|
|Maximum married couples allowance born before 5 April 1935||£8,915||£8,915|
|Minimum married couples allowance||£3,450||£3,450|
|Blind person allowance||£2,450||£2,500|
|Transferable tax allowance for married couples and civil partners (2)||£1,060||£1,060|
CAPITAL GAINS TAX
2020-21 (per person) First £12,300 – exempt Tax at 10/20% (see notes 1 & 2)
- CGT at lower rate where total taxable gains and income are less than the upper limit of income tax basic rate.
- 8% surcharge for carried interest and gains on residential property, excluding main residence.
- The Personal Allowance reduces where the income is above £100,000 – by £1 for every £2 of income above the £100,000 limit. This reduction applies irrespective of age or date of birth.
- Available to spouses/civil partners born after 5 April 1935. This allowance is 10% of the personal allowance for those born after 5 April 1938. It allows a spouse or civil partner who is not liable to income tax above the basic rate, to transfer this amount of their personal allowance to their spouse/civil partner. The recipient must not be liable to tax above the basic rate. The recipient is eligible to a tax reduction of 20% of the transferred amount. More information can be found here; https://www.gov.uk/marriage-allowance.
Income tax rates are different if you live in Scotland.
Income Tax Allowances in Scotland
Income Tax Allowances for Scottish tax year 2020/21
Scottish Tax Rate
Up to £12,500
£43,431 to £150,000
From 6th April 2019, the rates will also differ if you live in Wales.