Cookies are small text files that are stored on your computer when you visit a website. They are mainly used as a way of improving the website functionalities or to provide more advanced statistical data.
Accounting, Taxation and Business Advisers
Call us today: 0118 405 6000 (Local Rate)
or email us info@atbaccounting.co.uk
What size is your
business?
We know you love your business regardless of it's size, so let us offer you sound financial advice
Income Tax Rates and Bands
Recent income tax rates and bands are as follows:
| 2020/21 | 2021/22 | 2022/23 | 2023/24 | |
| Savings rate: 0% | Up to £5,000 | Up to £5,000 | Up to £5,000 | Up to £5,000 |
| Dividend Allowance: 0% | Up to £2,000 | Up to £2,000 | Up to £2,000 | Up to £1,000 |
| Basic rate: 20% | Up to £37,500 | Up to £37,700 | Up to £37,700 | Up to £37,700 |
| Higher rate: 40% | £37,501 - £150,000 | £37,701 - £150,000 | £37,701 - £150,000 | £37,701 - £125,140 |
| Additional rate: 45% | Over £150,000 | Over £150,000 | Over £150,000 | Over £125,140 |
When the personal allowance is taken into account an individual will start to pay tax at 40% when their total income exceeds £50,270. This threshold (and the 45% threshold) can be increased if the taxpayer pays personal pension contributions or makes gift aid donations.
Scottish Income Tax Rates and Bands
Scottish income tax applies to non-savings and non-divdend income
| 2020/21 | 2021/22 | 2022/23 | 2023/24 | |
| Starter rate: 19% | Up to £2,085 | Up to £2,097 | Up to £2,162 | Up to £2,162 |
| Basic rate: 20% | £2,086 to £12,658 | £2,098 to £12,726 | £2,163 to £13,118 | £2,163 to £13,118 |
| Intermediate rate: 21% | £12,659 to £30,930 | £12,727 to £31,092 | £13,119 to £31,092 | £13,119 to £31,092 |
| Higher rate: 42% | £30,931 to £150,000 | £31,093 to £150,000 | £31,093 to £150,000 | £31,093 to £125,140 |
| Additional rate: 46% (47% from 6 April 2023) | Over £150,000 | Over £150,000 | Over £150,000 | Over £125,140 |
