INCOME TAX RATES

income Tax Rates

How much Income Tax someone pays in each tax year (from 6 April to the 5 April the following year) depends on:

how much of their taxable income is above their Personal Allowance

how much of this falls within each tax band

Personal Allowances

Your tax-free Personal Allowance 2016/17

The standard Personal Allowance is £11,000, which is the amount of income you don’t have to pay tax on.

Your Personal Allowance may be bigger if you claim Marriage Allowance or Blind Person’s Allowance. It’s smaller if your income is over £100,000.

Income Tax rates and bands

The table shows the tax rates you pay in each band if you have a standard Personal Allowance of £11,000.

Band Taxable Income Tax Rate
Personal Allowance Up to £11,000 0%
Basic rate £11,000 to £43,000 20%
Higher rate £43,001 to £150,000 40%
Additional rate over £150,000 45%

You can also see the rates and bands without the Personal Allowance. You don’t get a Personal Allowance on taxable income over £122,000. 

Your Personal Allowance goes down by £1 for every £2 that your adjusted net income is above £100,000. This means your allowance is zero if your income is £122,000 or above.

LEGAL NOTICE AND WARNING:
The information displayed in this section should not be used as a definitive guide, since individual circumstances may vary. Specific advice should be obtained where necessary. We accept no responsibility of use of above information on your own.