Tax Tables

Table A
Allowances and Reliefs
  2010/11 2009/10
Allowed at top rate of tax    
Personal Allowance £6,475 £6,475
Personal Allowance (65-74)* 9,490 9,490
Personal Allowance (75 and over)* 9,640 9,640
Blind Person's Allowance 1,890 1,890
 
Allowed only at 10%    
Married Couple's Allowance (75 and over)*+ 6,965 6,965
Income Limit for age-related allowances 22,900 22,900
 
+ only available if born before 6th April 1935.
* Age allowances are reduced £1 for every £2 by which income exceeds the income limit, until the age allowance is reduced to the normal allowance. Personal allowance is reduced before married couple's allowance. MCA is reduced to a minimum of £2,670 (2009/10: £2,670).
Personal allowances in 2010/11 will be withdrawn at £1 for every £2 by which total income exceeds £100,000.There will therefore be no allowances if income is £112,950 or more.
 
Bands 2010/11 2009/10
Starting (within basic rate band)* £2,440 £2,440
Basic 37,400 37,400
Higher 37,401 - 150,000 over 37,400
Additional over 150,000 -
* There is a 10% starting rate for savings income only. If general taxable income exceeds the starting rate limit, the 10% rate is not available for savings income.
 
Rates differ for General, Savings and Dividend income within each band:
Rates 2010/11 2009/10
  G S D G S D
Starting N/A 10% 10% N/A 10% 10%
Basic 20% 20% 10% 20% 20% 10%
Higher 40% 40% 32.5% 40% 40% 32.5%
Additional 50% 50% 42.5% - - -
General income (salary, profit, rent) uses starting rate and basic rate bands before savings income (interest). Dividends are taxed as the 'top slice' of income.
 
Table B
Pension Contributions
 
The maximum annual tax efficient gross contributions (up to age 75) in 2010/11 are:
- individuals:   £3,600 or 100% of earnings to £255,000
- employers:   £255,000 less employee contributions
Maximum tax efficient fund (lifetime allowance) where benefits are taken in 2010/11: £1.8m.
Only current earnings count for the 100% limit. Where extra contributions exceeding £20,000 are paid by someone with total income over £130,000, there may be a clawback of pension relief in 2009/10 and 2010/11.
 
Table C
Benefits In Kind
 
Car Benefit Assessment 2010/11

Charge based on a percentage of the initial list price of the car; the percentage depends on the carbon dioxide emission ratings of the car, if it has one. For older cars without a rating, the percentage depends on engine capacity.

For 2010/11 the percentage for a petrol engine is 15% for ratings from 121g/km - 130g/km. The percentage increases by 1% for every complete 5g/km in excess of this (i.e. at 135,140 etc.), to a maximum of 35%. Diesel cars have 3% added to this figure, but still have a maximum percentage of 35%. In 2009/10 the 15% rate increased to 16% at 140g/km, so most benefit charges will increase by one percentage point.

Lower rates apply to cars with ratings up to 120g/km (10%/13%), 75g/km (5%/8%), or no emissions (no tax charge).
 
Car Fuel Assessment

The benefit is calculated using the same percentage as that used for the car benefit, applied to a standard figure of £18,000 (2009/10: £16,900).

The taxable amount is therefore between £900 (5% - min.) and £6,300 (35% - max.).
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