Income Tax Rates 2023 – 2024
Income Tax allowances and bands for the 2023-24 tax year have now been published. Legislation is being introduced to bring these into effect from thursday 6 April 2023. These rates were announced in the 2022 Budget and confirmed in the recent Autumn Statement.
Bands of Taxable Income
Income Tax allowances
Class 1 NIC Rates 2023-24
| Employer (Primary) | Employer (Secondary) | ||
|---|---|---|---|
| Earnings £ a week | NIC rate % | Earnings £ a week | NIC rate % |
| Below £120(LEL, lower earnings limit) | 0 | Below £170 (ST, secondary threshold) | 0 |
| £120-£184 (PT, primary threshold) | 0 | Above £170 | 13.8% |
| £184-£967 (UEL, upper earnings limit) | 13.8% | ||
| Above £967 | 2% | ||
Self-employed NIC Rats 2023-24
| Annual Profits £ a week | Class 2 £ a week | Class 4% |
|---|---|---|
| Below £6965 (SEE, small earning exception) | £0.00 | 0% |
| £6965 to £9789 (LPL, lower profits limit) | £3.10 | 0% |
| £9789 to £50270(UPL, upper profits limit) | £3.10 | 9% |
| Above £50270 | £3.10 | 2% |
Other NICs Rates
| 2022-23 | ||
|---|---|---|
| Married Women’s reduced rate (per cent) | 5.85% | |
| Special Class 2 rate for share fishermen | £3.35 per week | |
| Special Class 2 rate for wolunteer development workers | £5.45 per week | |
| Class 3 rate | £15.40 per week |
Working and Child Credit Tax Rates & Thresholds
| £ a year | 2022-23 | 2023-24 | |
|---|---|---|---|
| Working Tax Credit | |||
| Basic element | 2,070 | 2,280 | |
| Couple and lone parent element | 2,125 | 2,340 | |
| 30 hour element | 860 | 950 | |
| Disabled worker element | 3,345 | 3,685 | |
| Severe disability element | 1,445 | 1,595 | |
| Childcare Element | |||
| maximum eligible cost for 1 child | £175 per week | – | £175 per week |
| maximum eligible cost for for 2 or more childern | £300 per week | – | £300 per week |
| Percentage of eligible costs covered | 70% | – | 70% |
| Child Tax Credit Rates | |||
| Family element | 545 | 545 | |
| Child element | 2,635 | 3,235 | |
| Disabled child element | 3,545 | 3,905 | |
| Severely disabled child element | 1,430 | 1,575 | |
| Income Threshold & Withdrawal Rates | |||
| Income threshold | 6,770 | 7,544 | |
| Withdrawal rate (%) | 41% | 41% | |
| Threshold for those entitled to Child Tax Credit only | 17,005 | 18,725 | |
| Income rise disregard | 2,500 | 25,00 | |
| Income fall disregard | 2,500 | 2,500 | |
Child Benefit and Guardian's Allowance
| 2023-24 | |||
|---|---|---|---|
| Child Tax Credit | |||
| First Child | £24.00 | – | |
| Rate for additional children | £15.90 | – | |
| Guardian’s Allowance | £20.40 | ||
Tax-free Savings Accounts
| Type of ISA | Subscription limt(2023/24) | ||
| Individual Savings Accounts | £20,000 | ||
| Junior ISA subscription limit | £9.000 | ||
| Lifetime ISA | £4.000 | ||
Fuel Benefit Charge
| Company Car Tax Fuel Benefit Charge | 2022-23 | 2023-24 | |
|---|---|---|---|
| Junior ISA subscription limit | £9,800 | £1,000 | |
| Company Car Tax Fuel Benefit Charge | £24,600 | £25,200 |
Copyrights © 2020 Artifinaccountants.co.uk. All rights reserved
Home - Terms and Conditions - Privacy Policy - Sitemap