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Income Tax Rates and Allowances

Income Tax Allowances

Income Tax allowances

2015-16

2016-17

Personal Allowance for people born after 5 April 1948 (1)

£10,600

£11,000

Income limit for Personal Allowance

£100,000

£100,000

Personal Allowance for people born between 6 April 1938 and 5 April 1948 (2)

£10,600

£11,000

Personal Allowance for people born before 6 April 1938 (2)

£10,660

£11,000

Income limit for the allowances for those born before 6 April 1948

£27,000

£27,700

Married Couple’s Allowance - maximum amount (3)

£8,355

£8,355

Married Couple’s Allowance - minimum amount (3)

£3,220

£3,220

Blind Person's Allowance

£2,290

£2,290

  1. The Personal Allowance goes down by £1 for every £2 of income above the £100,000 limit. It can go down to zero.
  2. This Personal Allowance goes down by £1 for every £2 above the income limit. It won’t go below the standard Personal Allowance for that year.
  3. May be available for couples where one partner was born before 6 April 1935.

Income Tax rates and Taxable Bands

Rate

2015-16

2016-17

Starting rate for savings: - 0% from 2015 to 2016

Up to £5,000

Up to £5,000

Basic rate: 20%

Up to £31,785

Up to £32,000

Higher rate: 40%

£31,786 - £150,000

£32,001 to £150,000

Additional rate: 45%

Over £150,001

Over £150,001

For more information, visit the HMRC website:

​HMRC Income Tax Rates and Allowances

Reproduced under the Open Government License -

http://www.hmrc.gov.uk/copyright/