Tax Tables

A quick guide to some of the main UK tax rates for 2020/21. Handy when you need to know the tax facts.

Income Tax

Savings starting rate limit:

Savings starting rate:

Basic rate band:

Basic rate:

Dividend ordinary rate:

Higher rate band:

Higher rate:

Dividend upper rate:

Additional rate band over:

Additional rate:

Dividend additional rate:

£5,000

£0 – £37,500

20%

7.5%

£37,501 – £150,000

40%

32.5%

£150,000

45%

38.1%

Income Tax Allowances

Personal allowance

Personal allowance:

Income limit for personal allowance:

Marriage allowance

Marriage allowance:

Blind person’s allowance

Blind person’s allowance:

Dividend allowance

Dividend allowance:

Personal savings allowance

Personal savings allowance for basic rate taxpayers:

Personal savings allowance for higher rate taxpayers:

£12,500

£100,000

£29,600

£2,500

£2,000

£1,000

£500

High Income Child Benefit Charge

Arises on income over:

£50,000

There is a tax charge of 1% of the child benefit received for each £100 that taxable income exceeds £50,000 up to a maximum of 100%.

Capital Gains Tax

Lower rate:

Higher rate:

Annual exemption (individuals):

Annual exemption (settlements):

Entrepreneurs’ relief (applicable rate):

Entrepreneurs’ relief (lifetime limit):

10%

20%

£12,300

£6,150

10%

£1m

Inheritance Tax

Thresholds

Single person’s threshold:

Combined threshold limit for married couples and civil partners:

Residence nil rate band:

Tax rates

Main rate:

Chargeable on lifetime transfers:

Transfers on or within seven years of death:

Reduced rate:

£325,000

£650,000

£175,000

40%

20%

40%

36%

All lifetime transfers not covered by exemptions and made within seven years of death will be added back into the estate for the purposes of calculating the tax payable. This may then be reduced as follows:

Tax reductions

0-3 years before death:

3-4 years before death:

4-5 years before death:

5-6 years before death:

6-7 years before death:

20%

40%

60%

80%

Main exemptions

1. Most transfers between spouses and between civil partners.

2. First £3,000 of lifetime transfers in any tax year plus any unused from the previous year.

3. Gifts up to £250 p.a. to any number of persons.

4. Gifts made out of income that form part of normal expenditure and do not reduce the standard of living.

5. Gifts in consideration of marriage/civil partnership up to £5,000 by a parent, £2,500 by grandparents, or £1,000 by anyone else.

6. Gifts to charities, whether made during lifetime or on death.

Registered Pensions

Maximum annual tax-efficient gross contributions to age 74 (individuals):

Maximum annual tax-efficient gross contributions to age 74 (employers):

Normal age for accessing benefits:

Lifetime allowance charge (lump sum paid):

Lifetime allowance charge (monies retained):

On cumulative benefits exceeding:

Maximum tax-free lump sum:

£3,600 or 100% of ‘NRE’ to £40,000*

£40,000 less employee contributions

55%

25%

£1,073,100**

25%**

* The annual contribution may be increased to include the unused amounts from the previous three years, subject to specific conditions.

** Subject to transitional protection for excess amount.

National Insurance

Class 1 (not contracted out)

Lower earnings limit (employer):

Lower earnings limit (employee):

Payable on weekly earnings below £183:

Payable on weekly earnings of £183-£962:

Payable on weekly earnings over £962:

n/a

£120

12%

Class 1A

On relevant benefits (employer):

On relevant benefits (employee):

13.8%

n/a

Class 2

Self employed:

Limit of net earnings for exception:

£3.05 per week

£6,475 per annum

Class 3

Voluntary:

£15.30 per week

Class 4

Self employed on profits below £9,500:

Self employed on profits £9,500-£50,000:

Self employed on profits above £50,000:

Value Added Tax

Standard rate:

20%

Stamp Duty

Shares & Securities

Certain transfers of shares and securities of £1,000 and over:

Residential Property

Up to £125,000:

The next £125,000 (£125,001- £250,000):

The next £675,000 (£250,001 -£925,000):

The next £575,000 (£925,001- £1,500,000):

The remaining amount (the portion above £1,500,000):

First Home Stamp Duty

Up to £300,000:

The next £200,000 (£300,001- £500,000):

Properties valued at over £500,000

Second Home & Buy-to-Let Properties

Stamp Duty surcharge (applicable to all purchases):

0.5%

10%

12%*

Standard rates

*15% for purchases by certain non-natural persons including corporate bodies.

ISA & Junior ISA

ISA Annual investment limit:

Lifetime ISA

Help to Buy ISA

Junior ISA Annual investment limit:

£20,000

£4,000

£1,000 then £200/month

£9,000

Corporation Tax

All taxable profits:

19%

Investment Reliefs

Enterprise Investment Scheme Limit:

Enterprise Investment Scheme Limit relief rate:

Venture Capital Trust Limit:

Venture Capital Trust relief rate:

Seed Enterprise Investment Scheme Limit:

Seed Enterprise Investment Scheme relief rate:

£1,000,000

30%

£200,000

30%

£100,000

50%

The content of this page is intended to provide a general guide to the UK tax rates for 2018/19 and should not be regarded as a basis for ascertaining liability to tax or determining investment strategy in specific circumstances. Although we endeavour to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. You should not act upon such information on this page without appropriate professional advice.