Personal Taxation
Tax treatment varies according to individual circumstances and is subject to change.
Income Tax Rates and Allowances
| Income Tax allowances | 2017-18 | 2018-19 |
|---|---|---|
| Personal Allowance | £11,500 | £11,850 |
| Personal reduced by £1 for every £2 of net income over | £100,000 | £100,000 |
| Transferable tax allowance for married couples/civil partners | £1,150 | £1,185 |
| Blind Person's Allowance | £2,320 | £2,390 |
| Married couples/civil partner at 10% - minimum (1) | £3,260 | £3,360 |
| Married couples/civil partner at 10% - maximum (1,2) | £8,445 | £8,695 |
| Rent-a-room tax-free income | £7,500 | £7,500 |
(1) Where at least one spouse/civil partner was born before 6/4/35.
(2) Reduced by £1 for every £2 of income over £28,900 (£28,000 for 2017/18) until the minimum is reached.
Personal Allowances and Tax Bands
| 2017-18 | 2018-19 | |
|---|---|---|
| Basic rate of 20% on income up to: | £33,500 | £34,500 |
| Higher rate of 40% on income over: | £33,500 | £34,500 |
| Additional rate of 45% on income over: | £150,000 | £150,000 |
| Year | Personal Allowance | Higher Rate Tax Band |
|---|---|---|
| 2017-2018 | £11,500 | £33,500 (+£11,500 = £45,000) |
| 2018-2019 | £11,850 | £34,500 (+£11,850 = £46,350) |
Dividend Taxation
| 2017-18 | 2018-19 | |
|---|---|---|
| Starting rate at 0% on savings income up to (3) | £5,000 | £5,000 |
| Savings allowance at 0% tax | ||
| Basic rate taxpayers | £1,000 | £1,000 |
| Higher rate taxpayers | £500 | £500 |
| Additional rate taxpayers | £0 | £0 |
| Dividend allowance at 0% tax - all individuals | £5,000 | £2,000 |
| Tax rate on dividend income: | ||
| Basic rate taxpayers | 7.5% | 7.5% |
| Higher rate taxpayers | 32.5% | 32.5% |
| Additional rate taxpayers | 38.1% | 38.1% |
(3) Not available if taxable non-savings income exceeds the starting rate band.
Note: These tables are provided for guidance only.
TAX ADVICE WHICH CONTAINS NO INVESTMENT ELEMENT IS NOT REGULATED BY THE FINANCIAL CONDUCT AUTHORITY.