Table A
Allowances and Reliefs |
| |
2009/10 |
2008/09 |
| |
| Allowed at top rate of tax |
|
|
| Personal Allowance |
£6,475 |
£6,035 |
| Personal Allowance (65-74)* |
9,490 |
9,030 |
| Personal Allowance (75 and over)* |
9,640 |
9,180 |
| Blind Person's Allowance |
1,890 |
1,800 |
| |
| Allowed only at 10% |
|
|
| Married Couple's Allowance (65-74)+* |
N/A |
6,535 |
| Married Couple's Allowance (75 and over)+* |
6,965 |
6,625 |
| Income Limit for age-related allowances |
22,900 |
21,800 |
| |
+ only available if born before 6th April 1935.
|
* Age allowances are reduced £1 for every £2 by which income exceeds the income limit, until the age allowance is reduced to the normal allowance. Personal allowance is reduced before married couple's allowance. MCA is reduced to a minimum of £2,670 (2008/09: £2,540).
|
| |
| Bands |
2009/10 |
2008/09 |
| Starting (within basic rate band)* |
£2,440 |
£2,320 |
| Basic |
37,400 |
34,800 |
| Higher |
over 37,400 |
over 34,800 |
| * There is a 10% starting rate for savings income only. If general taxable income exceeds the starting rate limit, the 10% rate is not available.
|
| |
| Rates differ for General, Savings and Dividend income within each band: |
| Rates |
2009/10 and 2008/09 |
| |
G |
S |
D |
| Starting |
N/A |
10% |
10% |
| Basic |
20% |
20% |
10% |
| Higher |
40% |
40% |
32.5% |
| General income (salary, profit, rent) uses starting rate and basic rate bands before savings income (interest). Dividends are taxed as the 'top slice' of income. |
|
| |
Table B
Pension Contributions |
| |
| The maximum annual tax efficient gross contributions (up to age 75) in 2009/10 are: |
| - individuals: |
|
£3,600 or 100% of earnings to £245,000 |
| - employers: |
|
£245,000 less employee contributions |
|
| Maximum tax efficient fund (lifetime allowance) where benefits are taken in 2009/10: £1.75m. |
| Only current earnings count for the 100% limit. It is no longer possible to use prior earnings or to carry back contributions to earlier years. |
| |
Table C
Benefits In Kind |
| |
Car Benefit Assessment 2009/10
Charge based on a percentage of the initial list price of the car; the percentage depends on the carbon dioxide emission ratings of the car, if it has one. For older cars without a rating, the percentage depends on engine capacity.
For 2009/10 the percentage for a petrol engine is 15% for ratings from 121g/km - 135g/km. The percentage increases by 1% for every complete 5g/km in excess of this (i.e. at 140,145 etc), to a maximum of 35%. Diesel cars have 3% added to this figure, but still have a maximum percentage of 35%. A lower rate of 10% (13% diesel) is available for cars with a rating up to 120g/km.
|
| |
Car Fuel Assessment
The benefit is calculated using the same percentage as that used for the car benefit, applied to a standard figure of £16,900 (unchanged from 2008/09).
The taxable amount is therefore between £1,690 (10% - min.) and £5,915 (35% - max.).
|
