Key Dates

Key dates in 2023/2024 for personal Self Assessment tax payers

31 January 2024	Deadline a taxpayer to submit online their 2022/2023 self assessment tax return. It is also the date by which they will be required to settle their 2022/2023 balancing payment and make the first payment on account in respect of 2023/2024.
31 July 2023	The date by which the second payment on account in respect of 2022/2023 must be paid. Taxpayers should consider electing to reduce POA’s if last year’s income has dropped.
5 October 2023	Deadline for notifying HMRC of new sources of income unless a 2022/2023 tax return has already been issued. Complete form CWF1 for self employment, form SA1 for non self-employed income, or form SA401 for partners.
31 October 2023	Deadline for submission to HMRC of a paper tax return for 2022/2023.
30 December 2023	Deadline for e-filing the tax return where the taxpayer requires the 2022/2023 balancing payment to be collected through next year’s tax code (less than £2,000).
6 April 2026	Self-employed and landlords with annual incomes in excess of £50,000 are mandated to comply with the HMRC’s MTD for Income Tax rules.
6 April 2027	Self-employed and landlords with annual incomes between £30,0000 and £50,000 are mandated to comply with the HMRC’s MTD for Income Tax rules.

National Minimum Wage

National Minimum Wage Hourly rate	From 01-04-23	From 01-04-22	From 01-04-21	From 01-04-20
Aged 23 above (National Living Wage)	£10.42	£9.50	£8.91	£8.72
Aged 21 to 22 inclusive	£10.18	£9.18	£8.36	£8.20
Aged 18 to 20 inclusive	£7.49	£6.83	£6.56	£6.45
Aged under 18. but above compulsory school leaving age	£5.28	£4.81	£4.62	£4.55
Apprentices aged under 19	£5.28	£4.81	£4.30	£4.15
Apprentices aged 19 and over in the first year of apprenticeship	£5.28	£4.81	£4.30	£4.15

Income Tax

Income Tax Rates: England, Wales & NI	2023-2024	2022-2023	2021-2022	2020-2021
Starter rate for savings	10%	10%	10%	10%
Basic tax rate	20%	20%	20%	20%
Higher tax rate	40%	40%	40%	40%
Additional tax rate	45%	45%	45%	45%
Basic rate band (above personal allowance)	£0 – £37,700	£0 – £37,700	£0 – £37,500	£0 – £37,500
Higher rate band	£37,701 – £125,410	£37,701 – £150,000	£37,501 – £150,000	£37,501 – £150,000
Additional rate band	Over £125,410	Over £150,000	Over £150,000	Over £150,000

Income Tax Rates: Scotland	2023-2024	2022-2023	2021-2022	2020-2021
Starter tax rate	19%	19%	19%	19%
Basic tax rate	20%	20%	20%	20%
Intermediate tax rate	21%	21%	21%	21%
Higher tax rate	42%	41%	41%	41%
Top tax rate	47%	46%	46%	46%
Starter tax rate band (above personal allowance)	£0 – £2,162	£0 – £2,162	£0 – £2,097	£0 – £2,085
Basic tax rate band	£2,163 – £13,118	£2,163 – £13,118	£2,098 – £12,726	£2,086 – £12,658
Intermediate tax rate band	£13,119 – £31,092	£13,119 – £31,092	£12,727 – £31,092	£12,659 – £30,930
Higher rate band	£31,093 – £125,410	£31,093 – £150,000	£31,093 – £150,000	£30,931 – £150,000
Top tax rate band	Over £125,410	Over £150,000	Over £150,000	Over £150,000

Taxpayers earning more than £100,000 will see their Personal Allowance reduced by £1 for every £2 earned over £100,000.

Income on Savings: Restricted to other income of less than £17,500	2023-2024	2022-2023	2021-2022	2020-2021
Starting rate for savings	0%	0%	0%	0%
Starting rate band for savings	£0 – £5,000	£0 – £5,000	£0 – £5,000	£0 – £5,000

Income on Dividends	2023-2024	2022-2023	2021-2022	2020-2021
Allowance for tax-free dividends (Next year: Reduced to £500)	£1,000	£2,000	£2,000	£2,000
Tax on dividends at Basic Effective Rate	8.75%	8.75%	7.50%	7.50%
Tax on dividends at Higher Effective Rate	33.75%	33.75%	32.50%	32.50%
Tax on dividends at Additional Effective Rate	39.35%	39.35%	38.10%	38.10%

Personal Allowances

Personal Allowances	2023-2024	2022-2023	2021-2022	2020-2021
Standard payroll tax code	1257L	1257L	1257L	1250L
Personal allowance (1)	£12,570	£12,570	£12,570	£12,500
Income limit for Personal Allowance	£100,0000	£100,0000	£100,0000	£100,0000
Marriage Allowance (Tfrs between couples)	£1,260	£1,260	£1,260	£1,250
Marriage Allowance: Lower earner’s limit	£12,570	£12,570	£12,570	£12,500
Max Married Couples Allowance (2)	£10,375	£9,415	£9,125	£9,075
Min Married Couples Allowance (2)	£4,010	£3,640	£3,530	£3,510
Income limit for Married Couples Allowance (2)	£31,400	£31,400	£30,400	£30,200
Blind person’s allowance	£2,870	£2,600	£2,500	£2,500
Dividend allowance (to be reduced to £500 in Apr 2024)	£1,000	£2,000	£2,000	£2,000
Personal Savings Allowance (Basic Rate Taxpayer)	£1,000	£1,000	£1,000	£1,000
Personal Savings Allowance (Higher Rat Taxpayer)	£500	£500	£500	£500
Individual Saving Account (ISA) – Overall annual limit	£20,000	£20,000	£20,000	£20,000
Individual Saving Account (ISA) – Junior account limit	£9,000	£9,000	£9,000	£9,000
Personal Annual Pension Allowance 100% of salary up to:	£40,000	£40,000	£40,000	£40,000
Permitted pension contributions (irrespective of salary)	£4,000	£4,000	£4,000	£4,000
Rent-a-room maximum	£7,500	£7,500	£7,500	£7,500
High income child benefit charge threshold (3)	£50,000	£50,000	£50,000	£50,000
Micro-entrepreneurs allowances	£1,000	£1,000	£1,000	£1,000

Note 1: Where income is above £100,000 the Personal Allowance reduces by £1 for every £2 of income above the £100,000 limit down to zero. This reduction applies to all people irrespective of age or date of birth.

Note 2: The Married Couples allowances applies to those born before 6 April 1935. The allowance reduces by £1 for every £2 of income above the specified income limit of £31,400, but never falls below the minimum amount specified above. Tax relief for the Married Couples Allowance is given at 10%.

Note 3: Charge of 1% of the child benefit per £100 of adjusted net income over £50,000; 100% of the child benefit withdrawn when adjusted net income reaches £60,000.

State Pension (from 6th April)	2023-2024	2022-2023	2021-2022	2020-2021
Old State Pension: Single allowance per week	£156.20	£141.85	£137.60	£134.25
New State Pension (applies to those reaching retirement age after 5 April 2016)	£203.85	£185.15	£179.60	£175.20

National Insurance Tax

National Insurance Class 1	2023-2024	2022-2023	2021-2022	2020-2021
Employee’s Earnings Limits	Weekly-Monthly-Yearly	Weekly-Monthly-Yearly	Weekly-Monthly-Yearly	Weekly-Monthly-Yearly
– Lower earnings limit (LEL) The minimum level of earnings employees need to qualify for benefit including State Pension.	£123 – £533 – £6,396	£123 – £533 – £6,396	£120 – £520 – £6,240	£120 – £520 – £6,240
– Primary threshold (PT) The level of earnings above which employees Class 1 contributions become payable.	£242 – £1,048 – £12,570	£242 – £1,048 – £12,570 (£190 – £823 – £9,880) (06-Apr-22 to 05-Jul-22)	£184 – £797 – £9,568	£183 – £792 – £9,500
– Secondary threshold (ST) The level of earnings above which employers Class 1 contributions become payable.	£175 – £758 – £9,100	£175 – £758 – £9,100	£170 – £737 – £8,840	£169 – £732 – £8,788
– Upper earnings limit (UEL) Employees do not pay Class 1 contributions above this level.	£967 – £4,189 – £50,270	£967 – £4,189 – £50,270	£967 – £4,189 – £50,270	£962 – £4,167 – £50,024

People stop paying Class 1 and Class 2 contributions when they reach State Pension Age, which is determined by gender and date of birth.

Employers Allowance	2023-2024	2022-2023	2021-2022	2020-2021
Employer’s Allowance	£5,000	£4,000	£4,000	£3,000

National Insurance Employee’s Class 1	2023-2024	2022-2023	2021-2022	2020-2021
– Primary rate from PT to UEL	12%	12% (13.25%) (06-Apr-22 to 05-Nov-22)	12%	12%
– Above UEL	2%	2% (3.25%) (06-Apr-22 to 05-Nov-22)	2%	2%

National Insurance Employer’s Class 1 rates	2023-2024	2022-2023	2021-2022	2020-2021
– Primary rate above ST	13.8%	13.8% (15.05%) (06-Apr-22 to 05-Nov-22)	13.8%	13.8%

National Insurance Employer’s Class 1A rates on B-I-K	2023-2024	2022-2023	2021-2022	2020-2021
Employer’s Class 1A NI rates on B-I-K	13.8%	15.05%	13.8%	13.8%

National Insurance Class 2	2023-2024	2022-2023	2021-2022	2020-2021
Self-employed National Insurance
– on annual earnings over	£6,725	£6,725	£6,515	£6,475
– weekly contribution	£3.45	£3.15	£3.05	£3.05
– maximum annual contribution	£179.40	£163.80	£158.60	£158.60

National Insurance Class 3	2023-2024	2022-2023	2021-2022	2020-2021
Voluntary contributions:
– weekly contribution	£17.45	£15.85	£15.40	£15.30
– annual contribution	£907.40	£824.20	£800.80	£795.60

National Insurance Class 4	2023-2024	2022-2023	2021-2022	2020-2021
Self-employed National Insurance on taxable profits between:
– Lower limit (LL)	£11,908	£9,880	£9,568	£9,500
– Upper limit (UL)	£50,270	£50,270	£50,270	£50,000
– Rate applied to earnings above LL to UL	10.25%	10.25%	9%	9%
– Rate applied to earnings above UL	3.25%	2%	2%	2%
– Maximum payable	£4,140 + 2%	£4,140 + 2%	£3,663 + 2%	£3,645 + 2%

Capital Gains Tax

Capital Gains Tax	2023-2024	2022-2023	2021-2022	2020-2021
Annual exempt amount:
– Individuals & personal representatives (Next year: £3,000)	£6,000	£12,300	£12,300	£12,300
– Trustees (Next year: £1,500)	£3,000	£6,150	£6,150	£6,150
Taxed at Basic and Standard Rate	10%	10%	10%	10%
Taxed at Higher and Additional Rate	20%	20%	20%	20%
Gains qualifying for Business Asset Disposal Relief	10%	10%	10%	10%
Gains on residential properties as a basic rate taxpayer	18%	18%	18%	18%
Gains on residential properties as a higher rate taxpayer	28%	28%	28%	28%

Note 1: Business Asset Disposal Relief available at 10% with a lifetime limit of £1m from 11 March 2020 (Previously £10m).

Inheritance Tax

Inheritance Tax	2023-2024	2022-2023	2021-2022	2020-2021
No tax charge arises up to:	£325,000	£325,000	£325,000	£325,000
Taxed above £325,000 at:	40%	40%	40%	40%
Lifetime transfers to most trusts:	20%	20%	20%	20%
Main exempt lifetime gifts
Small gifts (per recipient):	£250	£250	£250	£250
Parent’s gift on marriage:	£5,000	£5,000	£5,000	£5,000
Grandparent’s gift on marriage:	£2,500	£2,500	£2,500	£2,500
Gifts (per donor):	£3,000	£3,000	£3,000	£3,000

Note 1: Each individual has a tax-free gift allowance of £3,000 per annum. This means that a donor can give £3,000 in any one tax year without tax implications. Anything larger than £3,000 will be considered a ‘Potentially Exempt Transfer’ (PET) and may be subject to inheritance tax should the donor fail to survive seven years from the date the gift is made.

Note 2: Tapering relief is given in respect of gifts made between three and seven years before death as follows:

Survival Years	0-3	3-4	4-5	5-6	6-7	Over 7
Taper relief	0%	20%	40%	60%	80%	100%
Effective IHT Rate	40%	32%	24%	16%	8%	0%

Stamp Duty

Residential Property Stamp Duty	England & NI SDLT	Scotland LBTT	Wales LTT
£0 – £125,000	Nil	Nil	Nil
£125,000 – £145,000	2%	Nil	Nil
£145.000 – £180,000	2%	2%	Nil
£180,000 – £250,000	2%	2%	3.5%
£250,000 – £325,000	5%	5%	5%
£325,000 – £400,000	5%	10%	5%
£400,000 – £750,000	5%	10%	7.5%
£750,000 – £925,000	5%	12%	10%
£925,000 – £1.5m	10%	12%	10%
Above £1.5m	12%	12%	12%

In England and Northern Ireland there is a 3% (4% for Scotland) supplementary charge for additional residential properties above £40,000.
In England and Northern Ireland first time buyer are pay nothing for purchases up to £300,000 and then 5% from £300,001 to £500,000.
In Scotland first time buyers pay nothing on the first £175,000

Corporation Tax

Corporation Tax	From 01-04-23	From 01-04-22	From 01-04-21	From 01-04-20
Main rate:	25%	19%	19%	19%
Loans to participators	33.75%	33.75%	32.5%	32.5%

Note 1: From 2023-24, the main rate will be 25%. A small profits rate of 19% will apply to profits up to £50,000. The effective rate will increase from 19% to 25% on profits between £50,000 and £250,000.

VAT Registration Limits

VAT thresholds and limits	Registration threshold	Deregistration limit
from 1 Apr 2017 to date	£85,000	£83,000
01 Apr 16 to 31 Mar 17	£83,000	£81,000
01 Apr 15 to 31 Mar 16	£82,000	£80,000
01 Apr 14 to 31 Mar 15	£81,000	£79,000
01 Apr 13 to 31 Mar 14	£79,000	£77,000
01 Apr 12 to 31 Mar 13	£77,000	£75,000
01 Apr 11 to 31 Mar 12	£73,000	£71,000

Mileage Allowances

Mileage Rates to be used for privately owned vehicles from 6 April 2011	First 10,000 miles	Above 10,000 miles
Cars and vans	45p	25p
Motorcycles	24p	24p
Cycles	20p	20p

Van benefits