C&M Services
Thank you, for such an efficient and prompt service. The fact that you provided a home visit and gave extra help and support was really appreciated.
Lisa Richardson
Celebration Crèches Ltd

Rates and Allowances

Personal and Employment Taxes 2011-12

Personal Allowances

Personal allowance £7,475
Aged 65-74 years £9,940
Aged 75 years and over £10,090

From 2010-11, the amount of personal allowance will be gradually withdrawn for individuals (regardless of age), with “adjusted net incomes” above £100,000. The rate of reduction is £1 for every £2 over the income limit.

Personal Tax Rates

Starting rate for savings only £0-2,560 10%
Basic Rate £0-35,000 20%
Higher Rate > £35,000 40%
Additional Rate > £150,000 50%

All earnings above £42,475 therefore attract a rate of 40% tax.
Lower earnings level for state benefits and pension is £7,228 per annum.

Dividends

Basic Rate £0-35,000 10% (*)
Higher Rate > £35,000 32.5%
Additional Rate > £150,000 42.5%

(*) Note: Tax credit applies so that no additional tax is due.

Capital Gains

Personal allowance £10,600
Capital Gain tax rates 18% for basic rate/28% for higher rate payers or effective rate of 10% for businesses

VAT

VAT rate 20.0%
Registration limit £73,000
Deregistration limit £71,000

Limited Companies

Small company rate

20%