Editorial team AccountingWEB.co.uk
Share this content
AIA

Budget 2010: Tax tables

by
24th Mar 2010
Editorial team AccountingWEB.co.uk
Share this content

These tables reflect announcements made on 24 March 2010. Subsequent rates have been announced on 22 June for the 2011-12 tax year but are not complete and have not been included here. For more detail on these rates, see the June Budget Press Notice 2.

Income tax, capital gains tax, and inheritance tax

per year 2009-10 2010-11
Income tax personal and age-related allowances
Personal allowance (age under 65)  £6,475 £6,475 
Personal allowance (age 65-74)  £9,490 £9,490
Personal allowance (age 75 and over)  £9,640 £9,640
Married couple's allowance* (age 75 and over)  £6,965 £6,965
Married couple's allowance* - minimum amount  £2,670 £2,670
Income limit for age-related allowances  £22,900  £22,900
Blind person’s allowance  £1,890 £1,890
Capital gains tax annual exempt amount
Individuals etc.  £10,100  £10,100
Most trustees  £5,050  £5,050
Individual inheritance tax allowance  £325,000 £325,000 
Pension schemes allowances
Annual Allowance  £245,000  £255,000
Lifetime Allowance  £1,750,000  £1,800,000

* Married couple's allowance is given at the rate of 10%.

Income tax: Taxable bands

  2009-10 2010-11
Savings starting rate*: 10%  0 - £2,440  0 - £2,440
Basic rate: 20%  0 - £37,400  0 - £37,400
Higher rate: 40%  Over £37,400  £37,401 - £150,000
Additional rate : 50% N/A Over £150,000 

* only available if non savings income is less than this amount
 

Capital gains tax rates

  2009-10 2010-11
Full rate of CGT 18% 18%
Entrepreneurs' Relief fraction  4/9 4/9
Net rate for Entrepreneurs 10% 10%

Corporation tax on profits

£ per year (unless stated) 2009-10 2010-11
£0-£300,000  21%  21%
£300,001 - £1,500,000 Marginal rate  Marginal rate 
£1,500,001 or more  28%  28%

The increase in the small company rate to 22% has been deferred until April 2011.

National insurance contributions

per week (unless stated) 2009-10 2010-11
Lower earnings limit, primary Class 1  £95 £97 
Upper earnings limit, primary Class 1  £844  £844
Upper Accruals point  £770  £770
Primary threshold  £110  £110
Secondary threshold  £110  £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  £2.40  £2.40
Class 2 small earnings exception (per year)  £5,075  £5,075
Special Class 2 rate for share fishermen  £3.05  £3.05
Special Class 2 rate for volunteer development workers  £4.75  £4.85
Class 3 rate (per week)  £12.05  £12.05
Class 4 lower profits limit (per year)  £5,715 £5,715 
Class 4 upper profits limit (per year)  £43,875 £43,875 
Class 4 rate between lower profits limit and upper profits limit  8%  8%
Class 4 rate above upper profits limit  1%  1%

From April 2011 the proposed increase of 0.5% on both employee and employer National Insurance contributions has been increased to 1%. The threshold will rise correspondingly to eliminate the effect of the increase for those earning £20,000 or less per annum.

Working and child tax credits rates

£ per year (unless stated) 2009-10 2010-11
Working Tax Credit
Basic element  £1,890 £1,920 
Couple and lone parent element  £1,860  £1,890
30 hour element  £775  £790
Disabled worker element  £2,530  £2,570
Severe disability element  £1,075  £1,095
50+ Return to work payment (16-29 hours)  £1,300  £1,320
50+ Return to work payment (30+ hours)  £1,935  £1,965
Childcare element of the Working Tax Credit
Maximum eligible cost for one child  £175 pw £175 pw 
Maximum eligible cost for two or more children  £300 pw £300 pw 
Percentage of eligible costs covered  80% 80% 
Child Tax Credit
Family element  £545 £545
Family element, baby addition  £545 £545 
Child element  £2,235 £2,300 
Disabled child element  £2,670 £2,715 
Severely disabled child element  £1,075  £1,095
Income thresholds and withdrawal rates
First income threshold  £6,420 £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  £16,040  £16,190
Income disregard  £25,000  £25,000

Child benefit and guardian’s allowance rates 2010

£ per week 2009-10 2010-11
Eldest/Only Child (Jan 2009)  £20.00 £20.30 
Other Children (Jan 2009)  £13.20 £13.40 
Guardian’s Allowance (April 2009)  £14.10 £14.30 

 

Stamp taxes and duties
Transfers of land and buildings (consideration paid)
From 1 January 2010

Rate Residential in disadvantaged areas & Non residential Residential outside disadvantaged areas
  Total value of consideration
Zero  £0 - £150,000  £0 - £125,000
1%

 Over £150,000 - £250,000

 Over £125,000 - £250,000*
3% Over £250,000 - £500,000 Over £250,000 - £500,000 
4%  Over £500,000 Over £500,000 

* First time buyers can claim relief from SDLT on residential transactions up to £250,000 between 25 March 2010 and 25 March 2012

Bingo Duty

Bingo Duty reduces from 22% to 20% with effect from

Normal
0

false
false
false

EN-GB
X-NONE
X-NONE

MicrosoftInternetExplorer4

29 March 2010.

Landline Duty

A duty of 50p per month will be imposed on telephone landlines with effect from 1 October 2010. 

Fuel Duty 

The next increase in fuel duty will be implemented in three stages: 1 pence per litre on 1 April 2010, 1 pence per litre on 1 October 2010, and 0.76 pence per litre on 1 January 2011.

Tags:

Replies (4)

Please login or register to join the discussion.

avatar
By AGAccounting
25th Mar 2010 09:13

Incrases in rates

I don't see any mention here of VAT.  Can anyone tell me if the registration threshold is going up as usual this year or is it still staying at £68,000.

Thanks

Thanks (0)
avatar
By az
25th Mar 2010 09:25

vat

hello

i think i saw somewhere its going up to £70,000

Thanks (0)
avatar
By Anonymous
26th Mar 2010 10:37

Is this a reprint?

Of the Treasury press Release?

I note that the Scottish "pence" has been used instead of "penny". (It's singular, not plural)

Brown and Darling are both guilty of mangling the English language.

 

Thanks (0)
avatar
By cbales
02nd Apr 2010 10:03

VAT registration threshold

HMRC website now states the VAT registration threshold as £70,000.  

Thanks (0)