Save content
Have you found this content useful? Use the button above to save it to your profile.
AIA

Budget 2009 : 2009-10 Tax Tables

by
22nd Apr 2009
Save content
Have you found this content useful? Use the button above to save it to your profile.

These Tables reflect announcements made in November 2008 and in March 2009

National Insurance:

Note that as for last year, the lower limit for employees and the self-employed for National Insurance are no longer aligned with personal allowances.

2009 Budget tables:

Income tax, capital gains tax, and inheritance tax

£ per year (unless stated) 2008-09 Change 2009-10
Income tax personal and age-related allowances
Personal allowance (age under 65) £6,035 +£440 £6,475
Personal allowance (age 65-74) £9,030 +£460 £9,490
Personal allowance (age 75 and over) £9,180 +£460 £9,640
Married couple's allowance* (aged less than 75 and born before 6th April 1935) £6,535 N/A N/A
Married couple's allowance* (age 75 and over) £6,625 +£340 £6,965
Married couple's allowance* - minimum amount £2,540 +£130 £2,670
Income limit for age-related allowances £21,800 +£1,100 £22,900
Blind person’s allowance £1,800 +£90 £1,890
Capital gains tax annual exempt amount
Individuals etc. £9,600 +£500 £10,100
Most trustees £4,800 +£250 £5,050
Individual inheritance tax allowance £312,000 +£13,000 £325,000
Pension schemes allowances
Annual Allowance £235,000 +£10,000 £245,000
Lifetime Allowance £1,650,000 +£100,000 £1,750,000
* Married couple's allowance is given at the rate of 10%.

Income tax: Taxable bands

2008-09 2009-10
Savings starting rate*: 10% £0-£2,320 £0-£2,440
Basic rate: 20% £0-£34,800 £0-£37,400
Higher rate: 40% Over £34,800 Over £37,400
* If an individual’s taxable non-savings income is above the savings starting rate limit then the 10% savings rate will not be applicable. There are no changes to the 10% dividend ordinary rate or the 32.5% dividend upper rate.

Corporation tax on profits

£ per year (unless stated) 2008-09 2009-10
£0-£300,000 21% 21%
£300,001 - £1,500,000 Marginal relief Marginal relief
£1,500,001 or more 28% 28%

National insurance contributions

per week (unless stated) 2008-09 Change 2009-10
Lower earnings limit, primary Class 1 £90 +£5 £95
Upper earnings limit, primary Class 1 £770 +£74 £844
Upper Accruals point N/A N/A £770
Primary threshold £105 +£5 £110
Secondary threshold £105 +£5 £110
Employees’ primary Class 1 rate between primary threshold and upper earnings limit 11% - 11%
Employees’ primary Class 1 rate above upper earnings limit 1% - 1%
Employees’ contracted-out rebate - salary-related schemes 1.6% - 1.6%
Employees’ contracted-out rebate - money-purchase schemes 1.6% - 1.6%
Married women’s reduced rate between primary threshold and upper earnings limit 4.85% - 4.85%
Married women’s rate above upper earnings limit 1% - 1%
Employers’ secondary Class 1 rate above secondary threshold 12.8% - 12.8%
Employers’ contracted-out rebate, salary-related schemes 3.7% - 3.7%
Employers’ contracted-out rebate, money-purchase schemes 1.4% - 1.4%
Class 2 rate £2.30 +£0.10 £2.40
Class 2 small earnings exception (per year) £4,825 +£250 £5,075
• Special Class 2 rate for share fishermen £2.95 +0.10 £3.05
Special Class 2 rate for volunteer development workers £4.50 +£0.25 £4.75
Class 3 rate (per week) £8.10 £3.95 £12.05
Class 4 lower profits limit (per year) +£5,435 +£280 £5,715
Class 4 upper profits limit (per year) £40,040 +£3,835 £43,875
Class 4 rate between lower profits limit and upper profits limit 8% - 8%
Class 4 rate above upper profits limit 1% - 1%

Working and child tax credits rates

£ per year (unless stated) 2008-09 Change 2009-10
Working Tax Credit
Basic element £1,800 +£90 £1,890
Couple and lone parent element £1,770 +£90 £1,860
30 hour element £735 +£40 £775
Disabled worker element £2,405 +£125 £2,530
Severe disability element £1,020 +£55 £1,075
50+ Return to work payment (16-29 hours) £1,235 +£65 £1,300
50+ Return to work payment (30+ hours) £1,840 +£95 £1,935
Childcare element of the Working Tax Credit
Maximum eligible cost for one child £175 per week - £175 per week
Maximum eligible cost for two or more children £300 per week - £300 per week
Percentage of eligible costs covered 80% - 80%
Child Tax Credit
Family element £545 - £545
Family element, baby addition £545 - £545
Child element £2,085 +£150 £2,235
Disabled child element £2,540 +£130 £2,670
Severely disabled child element £1,020 +£55 £1,075
Income thresholds and withdrawal rates
First income threshold £6,420 +£1,200 £6,420
First withdrawal rate 39% - 39%
Second income threshold £50,000 - £50,000
Second withdrawal rate 6.67% - 6.67%
First threshold for those entitled to Child Tax Credit only £15,575 +£465 £16,040
Income disregard £25,000 - £25,000
Child benefit and guardian’s allowance rates 2009
£ per week 2008-09 Change 2009-10
Eldest/Only Child £18.80 +£1.20 £20.00*
Other Children £12.55 +£0.65 £13.20*
Guardian’s Allowance £13.45 +£0.65 £14.10
* The child benefit rates increased from 6 January 2009, Guardian's allowance from 6 April 2009.

Stamp taxes and duties
Transfers of land and buildings (consideration paid)
Until 31 December 2009

Rate Residential Non-residential
Total value of consideration
Zero £0 - £175,000 £0 - £150,000
1% Over £175,000 - £250,000 Over £150,000 - £250,000
3% Over £250,000 - £500,000 Over £250,000 - £500,000
4% Over £500,000 Over £500,000

From 1 January 2010

Rate Residential in disadvantaged areas Residential outside disadvantaged areas Non-residential
Total value of consideration
Zero £0 - £150,000 £0 - £125,000 £0 - £150,000
1% Over £150,000 - £250,000 Over £125,000 - £250,000 Over £150,000 - £250,000
3% Over £250,000 - £500,000 Over £250,000 - £500,000 Over £250,000 - £500,000
4% Over £500,000 Over £500,000 Over £500,000

New leases (lease duty)Duty on the premium is the same as for transfers of land (except that special rules apply for non-residential land and property premium where rent exceeds £1,000 annually. The rules no longer apply to residential property). Duty on the rent is charged on any part of the net present value (NPV) which exceeds the threshold.

Rate Net Present Value of rent
Residential in disadvantaged areas Residential outside disadvantaged areas Non-residential
Slice of NPV
Zero £0 - £150,000 £0 - £125,000 £0 - £150,000
1% Over £150,000 Over £125,000 Over £150,000
Transfers of shares and stocks

The rate of stamp duty/stamp duty reserve tax on the transfer of shares and securities is unchanged at 0.5 per cent for 2009-10.

Tags:

Replies (1)

Please login or register to join the discussion.

avatar
By thepayrollsite
23rd Apr 2009 09:50

personal allowance
I think one of the figures in the table is wrong.
The new Personal allowance (age under 65) is £6,475, not £6,435.

Thanks (0)