Tax Rates and Allowances 2008/09

Tax Rates and Allowances 2008 / 2009

(Source: HMRC)

  2007-08 (£) 2008-09 (£) Increase (£)
Income tax allowances      
Personal allowance 5,225 5,435 210
       
Capital gains tax annual exempt amount:      
Individuals etc: 9,200    
Other trustees: 4,600    
       
Inheritance tax threshold 300,000    
       
Pension schemes earnings cap      

Taxable Bands

Taxable bands 2007-08 (£) Taxable bands 2008-09 (£)
Starting rate 10% 0 - 2,230    
Basic rate 22% 2,231 - 34,600 Basic rate 20% 0-£36,000
Higher rate 40% Over 34,600 Higher rate 40% Over 36,000

Corporation Tax Rates

Corporation tax profits 2007-08 (£) Corporation tax profits 2008-09 (£)
Small companies' rate 20% 0 - 300,000 Small companies' rate 20%  
Marginal relief 300,001 - 1,500,000 Marginal relief  
Main rate 30% 1,500,001 or more Main rate 30%  

National Insurance Rates

  2007-08   2008-09
Primary threshold £100 per week   £105 per week
Secondary threshold £100 per week   £105 per week
Employees' primary class 1 rate on earnings between primary threshold and upper earnings limit 11%   11%
Employers' secondary Class 1 rate 12.8%   12.8%
Class 4 rate 8% of £5,225 to £34,840 per year
1% above £34,840 per year
  8% of £5,435 to £40,040 per year
1% above £40,040 per year
Class 4 lower profits limit £5,225 per year   £5,435 per year
Class 4 upper profits limit £34,840 per year   £40,040 per year

 

More on money guides and tax rates.

                             

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