Chartered Accountants and Business Advisers
Chartered Accountantsand Business Advisers

Income Tax

  2016-17          2015-16
Basic rate band income up to  £32,000   £31,785
Starting rate for savings income *0%   *0%
Basic rate 20%   20%
Dividend ordinary rate **7.5%   0%
Higher rate income over £32,000   £31,785
Higher rate 40%   40%
Dividend upper rate **32.5%   25%
 Additional rate income over £150,000    £150,000 
 Additional rate 45%    45% 
 Dividend additional rate **38.1%    30.6% 
Starting rate limit (savings income) *£5,000   *£5,000
Personal Allowances      
Born after 5 April 1938 £11,000   £10,600
Born before 6 April 1938 #£11,000   #£10,660
Married Couple's Allowance      
Either partner born before 6 April 1935 (relief restricted to 10%)  #£8,355   #£8,355
Transferable Tax Allowance for certain married couples      
(relief 20%) £1,100   £1,060

 

For 2016/17 Scottish taxpayers are effectively subject to the same income tax rates as the rest of the UK.

 

* If an individual's taxable non-savings income exceeds the starting rate limit, then the starting rate limit for savings will not be available for savings income.  For 2016/17, £1,000 of savings income for basic rate taxpayers (£500 higher rate) maybe tax-free.  **For 2016-17 first £5,000 of dividends tax-free.

 

#Age related allowances are reduced by £1 for every £2 that adjusted net income exceeds £27,700 to a minimum personal allowance of £11,000 (2015-16: £10,600) and to a minimum married couple's allowance of £3,220.  Where adjusted net income exceeds £100,000 the basic personal allowance is reduced in the same way until it is nil regardless of the individual's date of birth.

Office hours

Monday - Friday

9.30 am to 5.00 pm

Address

Clive Shedd & Co

Chartered Accountants
232 Sladepool Farm Road  

Birmingham     B14 5EE

Making an appointment

If you wish to make an appointment please contact us:

 

Tel:     0121 474 4774

Fax:    0121 474 4766

Email: mail@cliveshedd.co.uk

or use our contact form.

Print Print | Sitemap
© Clive Shedd & Co