Skandia UK - Income Tax Rates and Allowances and National Insurance Contributions

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21/03/2012

Budget announcements of main rates and allowances for the tax year 2012-13.

The Chancellor announced a number of changes affecting personal taxation effective from 6 April 2013. These include:

We reproduce below up to date Tax and National Insurance tables.

Full details are available on the HMRC website.

Income tax bands of taxable income - £ per year
	Tax year 2011-12	Tax year 2012-13	Tax year 2013-14
Basic Rate	£0 - £37,400	£0 – £35,000	£0 - £32,245
Higher Rate	£37,401 -£150,000	£35,001 – £150,000	£32,246 - £150,000
Additional Rate	Over £150,000	Over £150,000	Over £150,000

Income tax rates	Tax year 2010-11	Tax year 2011-12	Tax year 2013-14
Basic Rate	20%	20%	20%
Higher Rate	40%	40%	40%
Additional Rate	50%	50%	45%
Dividend Ordinary Rate for dividends otherwise taxable at the basic rate (effective rate with tax credit)	10% (0%)	10% (0%)	10% (0%)
Dividend Upper Rate for dividends otherwise taxable at the higher rate (effective rate with tax credit)	32.5% (25%)	32.5% (25%)	32.5% (25%)
Dividend Additional Rate for dividends otherwise taxable at the additional rate (effective rate with tax credit)	42.5% (36.1%)	42.5% (36.1%)	37.5% (30.6%)

Special Rates for Trustees’ Income
	Tax year 2010-11	Tax year 2011-12	Tax year 2013-14
Standard rate on first £1000 of income which would otherwise be taxable at the special rates for trustees.	Up to 20%, depends on the type of income	Up to 20%, depends on the type of income	Up to 20%, depends on the type of income
Trust rate	50%	50%	45%
Dividend trust rate	42.50%	43%	37.5%

Income tax allowances - £ per year
Personal allowance*	Tax year 2011-12	Tax year 2012-13	Tax year 2013-14
Age under 65	£7,475	£8,105	N/A
Born after 5 April 1948	N/A	N/A	£9,205
Age –related allowance (65-74)	£9,940	£10,500	N/A
Born after 5 April 1938 but before 6 April 1948	N/A	N/A	£10,500
Age –related allowance (75+)	£10,090	£10,660	N/A
Born before 6 April 1938	N/A	N/A	£10,660
Income limit for under 65 personal allowance	£100,000	£100,000	£100,000
Income limit for personal allowance (born after 5 April 1948)	N/A	N/A	£100,000
Income limit for age-related allowances	£24,000	£24,400	N/A
Income limit for personal allowance (born before 6 April 1948)	N/A	N/A	TBA
Married couples allowance
Age over 75	£7,295	£7,705	TBA
Minimum amount of married couple’s allowance	£2,800	£2,960	TBA
Blind person's allowance
Blind Persons Allowance	£1,980	£2,100	TBA

Company car tax
Tax year 2014-15			Tax year 2015-16			Tax year 2016-17
CO2 emissions, g/km	Appropriate % of car list price taxed		CO2 emissions, g/km	Appropriate % of car list price taxed		CO2 emissions, g/km	Appropriate % of car list price taxed
	Petrol fuelled cars	Diesel fuelled cars		Petrol fuelled cars	Diesel fuelled cars		Petrol and diesel fuelled cars
0	0	0	0 to 94	13	16	0 to 94	15
1-75	5	8	95-99	14	17	95-99	16
76 to 94	11	14	100-104	15	18	100-104	17
95-99	12	15	105-109	16	19	105-109	18
100-104	13	16	110-114	17	20	110-114	19
105-109	14	17	115-119	18	21	115-119	20
110-114	15	18	120-124	19	22	120-124	21
115-119	16	19	125-129	20	23	125-129	22
120-124	17	20	130-134	21	24	130-134	23
125-129	18	21	135-139	22	25	135-139	24
130-134	19	22	140-144	23	26	140-144	25
135-139	20	23	145-149	24	27	145-149	26
140-144	21	24	150-154	25	28	150-154	27
145-149	22	25	155-159	26	29	155-159	28
150-154	23	26	160-164	27	30	160-164	29
155-159	24	27	165-169	28	31	165-169	30
160-164	25	28	170-174	29	32	170-174	31
165-169	26	29	175-179	30	33	175-179	32
170-174	27	30	180-184	31	34	180-184	33
175-179	28	31	185-189	32	35	185-189	34
180-184	29	32	190-194	33	36	190-194	35
185-189	30	33	195-199	34	37	195-199	36
190-194	31	34	200-204	35	37	200 and above	37
195-199	32	35	205-209	36	37
200-204	33	35	210 and above	37	37
205-209	34	35
210 and above	35	35

Employee & employer - rates & thresholds -£ per week unless stated	Tax year 2011-12	Tax year 2012-13
Lower Earnings Limit (LEL) for class 1 NICs	£102.00	£107.00
Upper Earnings Limit (UEL) for Employees’ (primary) class 1 NICs	£817.00	£817.00
Upper Accrual Point (UAP)	£770.00	£770.00
Primary threshold	£139.00	£146.00
Secondary threshold	£136.00	£144.00
Employee`s (primary) class 1 contribution rates
2011-12 weekly earnings from £139.01 to £817.00	12%	N/A
2011-12 weekly earnings above £817.00	2%	N/A
2012-13 weekly earnings from £146.01 to £817.00	N/A	12%
2012-13 weekly earnings above £817.00	N/A	2%
Employee`s contracted out rebate
Employee's contracted-out rebate – salary related schemes (COSR) between LEL & UAP	1.6%	1.4%
Employee's contracted-out rebate – money purchase schemes (COMP) schemes between LEL & UAP	1.6%	Abolished from 6 April 2012
Married women`s reduced rate for (primary) class 1 contribution rates
2011-12 weekly earnings from £139.01 to £817.00	5.85%	N/A
2011-12 weekly earnings above £817.00	2%	N/A
2012-13 weekly earnings from £146.01 to £817.00	N/A	5.85%
2012-13 weekly earnings above £817.00	N/A	2%
Employer`s (secondary) class 1 contribution rates
2011-12 weekly earnings above £136.00	13.8%	N/A
2012-13 weekly earnings above £144.00	N/A	13.8%
Employer`s contracted out rebate
Employers COSR schemes between LEL and UAP	3.7%	3.4%
Employers COMP schemes between LEL and UAP	1.4%	Abolished from 6 April 2012

Self employed and others rates and thresholds (£ per week)
Class 2 NICs	Tax year 2011-12	Tax year 2012-13
Self employed- class 2 NICs	£2.50	£2.65
Small earnings annual exception level –class 2 NICs	£5,315	£5,595
Volunteer development workers –class 2 NICs	£5.10	£5.35
Share fishermen –class 2 NICs	£3.15	£3.30

Self-employed and others rates and thresholds (£ per week)
Class 3 National insurance contributions	Tax year 2011-12	Tax year 2012-13
Voluntary contributions	£12.60	£13.25

Self-employed and others rates and thresholds
Class 4 National Insurance contributions	Tax year 2011-12	Tax year 2012-13
2011-12 annual profits below Lower Profits Limit £7,225	Nil	N/A
2011-12 annual profits above Lower Profits Limit £7,225 but below Upper Profits Limit £ 42,475	9%	N/A
2011-12 annual profits above Upper Profits Limit £ 42,475	2%	N/A
2012-13 annual profits below Lower Profits Limit £7,605	N/A	Nil
2012-13 annual profits above Lower Profits Limit £7,605 but below Upper Profits Limit £42,475	N/A	9%
2012-13 annual profits above Upper Profits Limit £42,475	N/A	2%