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tax data

Tax Data – Rates for 2021/2022

INCOME TAX

Rates and bands (other than savings and dividend income)

2021/22
Band £

Rate %
2020/21
Band £

Rate %

0 – 37,700

20

0 – 37,500

20

37,701 – 150,000

40

37,501 – 150,000

40

Over 150,000

45

Over 150,000

45

Income tax rates in Scotland and Wales on income other than savings and dividend income have been devolved.

Savings income – 2021/22 and 2020/21

Savings allowance basic rate

£1,000

Savings allowance higher rate

£500

A starting rate of 0% may be available unless taxable non-savings income exceeds £5,000.

Dividend income – 2021/22 and 2020/21

Dividend allowance

£2,000

Dividend ordinary rate

7.5%

Dividend upper rate

32.5%

Dividend additional rate

38.1%

INCOME TAX RELIEFS

2021/222020/21

Personal allowance

£12,570

£12,500

Personal allowance income limit

£100,000

£100,000

Marriage allowance

£1,260

£1,250

Married couple’s allowance

£9,125

£9,075

– minimum amount

£3,530

£3,510

– income limit

£30,400

£30,200

Blind person’s allowance

£2,520

£2,500

INDIVIDUAL SAVINGS ACCOUNTS

2021/222020/21

Overall investment limit

£20,000

£20,000

Junior account investment limit

£9,000

£9,000

DEVOLVED INCOME TAX

Scotland rates and bands

2021/22
Band £

Rate %
2020/21
Band £

Rate %

0 – 2,097

19

0 – 2,085

19

2,098 – 12,726

20

2,086 – 12,658

20

12,727 – 31,092

21

12,659 – 30,930

21

31,093 – 150,000

41

30,931 – 150,000

41

Over 150,000

46

Over 150,000

46

Wales rates and bands

2021/22
Band £

Rate %
2020/21
Band £

Rate %

0 – 37,700

20

0 – 37,500

20

37,701 – 150,000

40

37,501 – 150,000

40

Over 150,000

45

Over 150,000

45

CAPITAL GAINS TAX

Individuals2021/222020/21

Exemption

£12,300

£12,300

Standard rate

10%

10%

Higher/additional rate

20%

20%

Trusts Exemption


£6,150


£6,150

Rate

20%

20%

Higher rates (18/28%) may apply to the disposal of certain residential property and carried interest.

Business Asset Disposal Relief

The first £1m of qualifying gains are charged at 10%.

INHERITANCE TAX

Death rate
Lifetime rate
Chargeable transfers
2021/22 and 2020/21

Nil

Nil

0 – £325,000 (nil rate band)

40%

20%

Over £325,000

CAR VAN AND FUEL BENEFITS

2021/22
CO2 emissions g/km
Cars registered pre 6.4.20
% of list pricetaxed
Cars regisered after 5.4.21
% of list pricetaxed

0

1

1

1-50



Electric range – 130 or more

2

1

70 – 129

5

4

40 – 69

8

7

30 – 39

12

11

under 30

14

13

51-54

15

14

For every extra 5

+1

+1

160 and above

37

n/a

165 and above

n/a

37

For fully diesel cars generally add a 4% supplement (unless the car is registered on or after 1 September 2017 and meets the Euro 6d emissions standard) but the maximum is still 37%. For emissions of 75g/km or more if the CO2 figure does notend in a 5 or 0 round down to the nearest 5 or 0.

2021/2022

Car fuel benefit

£24,600

Van benefit

£3,500

Van fuel benefit

£669

NATIONAL INSURANCE

2021/22 Class 1 (employed) rates

Employee Earnings per week%EmployerEarnings per week%

Up to £184

Nil

Up to £170

Nil

£184.01 – £967

12

Over £170

13.8

Over £967

2

Entitlement to contribution-based benefits for employees retained for earnings between £120 and £184 per week. The employer rate is 0% for employees under 21 and apprentices under 25 on earnings up to £967 per week.

SELECTED RATES

2021/222020/21

Basic State Pension

137.60

134.25

New State Pension

179.60

175.20

Statutory pay standard rates

– average weekly earnings £120 (£120) or over

Sick Pay

96.35

95.85

Maternity/Adoption Pay

151.97

151.20

Shared Parental Pay

151.97

151.20

Paternity Pay

151.97

151.20

National Living Wage and National Minimum Wage

AgeNLW21-2218-2016-17Apprentices
From 1 April 2021£8.91£8.36£6.56£4.62£4.30

TAX RELIEFS FOR INDIVIDUALS

2021/22 and 2020/21 Enterprise Investment Scheme (EIS)

Relief on investments in certain unquoted trading companies up to

£1m per annum (£2m for knowledge intensive companies):

Unlimited amounts of capital gains from the disposal of other assets may be able to be deferred by making an EIS investment.

Capital gains from the disposal of other assets may be exempt up to £50,000 per annum by making an SEIS investment.

Venture Capital Trusts (VCTs)

Relief on investments in certain quoted companies up to £200,000 per annum:

Dividends received from VCTs may be exempt from income tax. All reliefs subject to detailed conditions being met.

Seed Enterprise Investment Scheme (SEIS)

CORPORATION TAX

Rate %Rate %

Year to 31.3.22

19

Year to 31.3.21

19

Different rates apply for ring-fenced (broadly oil industry) profit.

CAPITAL ALLOWANCES

Corporation tax super-deduction on certain plant and machinery130%
First Year Allowance (FYA) on certain plant, machinery and cars of 0g/km100%
Corporation tax FYA on long-life assets, integral features of buildings, etc.50%
Annual Investment Allowance (AIA) £1,000,000 (£200,000 from 1 January 2022) (£200,000 from 1 January 2022)
Writing Down Allowance
Long-life assets, integral features of buildings, cars
over 50g/kg
6%
Structures and Buildings Allowance3%

PENSIONS

2021/222020.21

Lifetime Allowance limit

£1,073,100

£1,073,100

Annual Allowance limit

£40,000

£40,000

Money Purchase Annual Allowance

£4,000

£4,000

VALUE ADDED TAX

From 1/4/21From 1/4/20

Standard rate

20%

20%

Reduced rate

5%*

5%

Annual Registration Limit

£85,000

£85,000

Annual Deregistration Limit

£83,000

£83,000

*12.5% for hospitality and tourism from 1 October 2021 – 31 March 2022.

PROPERTY TAXES

Across the whole of the UK, residential rates may be increased by 3% (4% in Scotland and Wales) where further residential properties are acquired.

Stamp Duty Land Tax

Land and buildings in England and N. Ireland

Residential Band
£
Rate
%
Non-residential Band
£
Rate
%

0 – 500,000*

0

0 – 150,000

0

*500,001 – 925,000

5

150,001 – 250,000

2

925,001 – 1,500,000

10

Over 250,000

5

Over 1,500,000

12



*£250,000 from 1 July 2021. From 1 October 2021, 0% up to £125,000, 2% from

£125,001 – £250,000 and 5% from £250,001 – £925,000.

Land and Buildings Transaction Tax

Land and buildings in Scotland

Residential Band
£
Rate
%
Non-residential Band
£
Rate
%

0 – 145,000

0

0 – 150,000

0

145,001 – 250,000

2

150,001 – 250,000

1

250,001 – 325,000

5

Over 250,000

5

325,001 – 750,000

10


Over 750,000

12


First-Time Buyer relief may apply on the first £175,000 of residential purchases.

Land Transaction Tax

Land and buildings in Wales

Residential Band £Rate %Non-residential Band £Rate %

0 – 250,000*

0

0 – 225,000

0

*250,001 – 400,000

5

225,001 – 250,000

1

400,001 – 750,000

7.5

250,001 – 1,000,000

5

750,001 – 1,500,000

10

Over 1,000,000

6

Over 1,500,000

12



*The rates are 0% up to £180,000, 3.5% from £180,001 – £250,000 and 5% from

£250,001 – £400,000 from 1 July 2021.

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