As part of the Autumn Statement 2023, the government have provided the following information on the operation of Income Tax for the 2024/2025 tax year. Could any of this change in the spring budget 2024, we will have to wait and see. For the time being the following apply:
Income Tax - Personal Allowance's
The Personal Allowance reduces where the income is above £100,000 — by £1 for every £2 of income above the £100,000 limit. This reduction applies irrespective of date of birth.
This applies across the UK. This reduction does not take place within the employers operation of PAYE but via self assessment and the adjustment of an individuals tax code.
Marriage Allowance
This transferable allowance is available to married couples and civil partners who are not in receipt of married couple's allowance. A spouse or civil partner who is not liable to Income Tax, or not liable at the higher or additional rates, can transfer this amount of their unused personal allowance to their spouse or civil partner. The recipient must not be liable to Income Tax at the higher or additional rates.
This applies across the UK. You don't need to use expensive rebate agent to claim the marriage allowance, you can do it yourself easily and for free using your Personal Tax Account (PTA).
Income Tax Bands and Rates for England and Northern Ireland (rUK)
The above values are indicated as being frozen and applicable for the 2024/2025 tax year. These apply to England and Northern Ireland. Could these change in Budget 2024? We will have to see.
Scottish Income Tax
The Scottish Parliament sets the tax thresholds and rates. The budget is taking place on 19th December 2023.
Welsh Income Tax
The Welsh assembled sets the tax rates, so far they have aligned with the rest of the UK. The budget is taking place on 19th December 2023.
PAYadvice.UK resources
The PAYadvice resources for 2024 are available by selection in the menu and linked by the following button:
PAYadvice.UK 26/11/2026
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