Tax Tables

Table A

Allowances and Reliefs

	2009/10	2008/09
Allowed at top rate of tax
Personal Allowance	£6,475	£6,035
Personal Allowance (65-74)*	£9,490	£9,030
Personal Allowance (75 and over)*	£9,640	£9,180
Blind Person's Allowance	£1,890	£1,800

Allowed only at 10%
Married Couple's Allowance (65-74)+*	N/A	£6,535
Married Couple's Allowance (75 and over)+*	£6,965	£6,625
Income Limit for age-related allowances	£21,800	£20,900

+ only available if born before 6th April 1935.

* Age allowances are reduced £1 for every £2 by which income exceeds the income limit, until the age allowance is reduced to the normal allowance. Personal allowance is reduced before married couple's allowance. MCA is reduced to a minimum of £2,670 (2008/09: £2,540).

Bands	2009/10	2008/09
Starting (within basic rate band)*	£2,440	£2,320
Basic	£37,400	£34,800
Higher	over £37,400	over £34,800

* There is a 10% starting rate for savings income only. If general taxable income exceeds the starting rate limit, the 10% rate is not available.

Rates differ for General, Interest and Dividend income within each band:

Rates	2009/10			2008/09
	G	I	D	G	I	D
Starting	NA	10%	10%	NA	10%	10%
Basic	20%	20%	10%	20%	20%	10%
Higher	40%	40%	32.5%	40%	40%	32.5%

General income (salary, profit, rent) uses starting rate and basic rate bands before savings income (interest). Dividends are taxed as the 'top slice' of income.

Table B

Pension Contributions

The maximum annual tax efficient gross contributions (up to age 75) in 2009/10 are:

- individuals: - £3,600 or 100% of earnings to £245,000
- employers: - £245,000 less employee contributions

Maximum tax efficient fund (lifetime allowance) where benefits are taken in 2009/10: £1.75m.

Only current earnings count for the 100% limit. It is no longer possible to use prior earnings or to carry back contributions to earlier years.

Table C

Benefits In Kind

Car Benefit Assessment 2009/10

Charge based on a percentage of the initial list price of the car; the percentage depends on the carbon dioxide emission ratings of the car, if it has one. For older cars without a rating, the percentage depends on engine capacity.

For 2009/10 the percentage for a petrol engine is 15% for ratings from 121g/km - 135g/km. The percentage increases by 1% for every complete 5g/km in excess of this (i.e. at 140,145 etc), to a maximum of 35%. Diesel cars have 3% added to this figure, but still have a maximum percentage of 35%. A lower rate of 10% (13% diesel) is available for cars with a rating up to 120g/km.

Car Fuel Assessment

The benefit is calculated using the same percentage as that used for the car benefit, applied to a standard figure of £16,900 (unchanged from 2008/09).

The taxable amount is therefore between £1,690 (10% - min.) and £5,915 (35% - max.).

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