TaxSource Total

Here you can access details of the annual key tax rates and bands for Ireland and the UK

The tax rates and bands are displayed in a table format, per year, and by country

Tax rates and bands for the previous years are displayed within the table for comparison purposes

UK Tax Rates and Bands

INCOME TAX ALLOWANCES

2013/2014
£

2014/2015
£

Personal allowance for people born after 5 April 1948

9,440

10,000

Income limit for Personal Allowance (1)

100,000

100,000

Personal Allowance for people born between 6 April 1938 and 5 April 1948

10,500

10,500

Personal Allowance for people born before 6 April 1938

10,660

10,660

Income limit for personal allowances (born before 6 April 1948) (2)

26,100

27,000

Married couple’s allowance (3)

Maximum amount of Married Couple’s Allowance (people born before 6 April 1935) (4)

7,915

8,165

Minimum amount of Married Couple’s Allowance (5)

3,040

3,140

Blind Person’s Allowance

2,160

2,230

INCOME TAX RATES AND TAXABLE BANDS

2013/2014
£

2014/2015
£

Starting rate for savings: 10%*

0–2,790

0–2,880

Basic rate: 20%

0–32,010

0–31,865

Higher rate: 40%

32,011–150,000

31,866–150,000

Additional rate: 45%

Over 150,000

Over 150,000

*From 2008/09 there is a 10% starting rate for savings income only. If non-savings income is above this limit then the 10% starting rate for savings will not apply.

The dividend rate is the 10% ordinary rate and the 32.5% dividend upper rate. In addition to these rates, there is a dividend additional rate of 37.5% (2012–13: 42.5%).

INHERITANCE TAX THRESHOLDS

2013/2014

2014/2015

Nil rate band

£325,000

£325,000

(1) The personal allowance reduces where the individual’s income is above this limit by £1 for every £2 above the limit. This applies regardless of the individual’s date of birth.

(2) This allowance reduces where the individual’s income is above the income limit by £1 for every £2 above the income limit until it reaches the level of the personal allowance for someone born after 5 April 1948.

(3) Available to people born before 6 April 1935. Tax relief for this allowance is restricted to 10%.

(4) This allowance reduces where the individual’s income is above the income limit by £1 for every £2 above the income limit until it reaches the minimum amount. Any reduction applies after any reduction to the individual’s personal allowance.

(5) This is also the maximum relief for maintenance payments where at least one of the parties is born before 6 April 1935.