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What are the tax bands?

Income 2016-2017 Income 2017-2018 Income 2018-2019
£11,001 to £32,000 20% £11,501 - £33,500 * 20% £11,851 - £34,500 * 20%
£32,001 to £150,000 40% £33,501 * to £150,000 40% £34,501 * to £150,000 40%
Over £150,000 45% Over £150,000 45% Over £150,000 45%

Scotland

* 2017/18 the Basic rate band for Scotland - up to £31,500  ** 2017/18 the Higher rate band for Scotland - between £31,501 to £150,000

In 2018/19 Scotland has 5 bands;

Starter rate                     19%          £11,850 to £13,850

Basic rate                        20%         £13,851 to £24,000

Intermediate Rate          21%          £24,001 to £43,430

Higher rate                    41%          £43,431 to £150,000

Top rate                         46%          Above £150,000

These rates apply to TAXABLE income that is over and above your personal allowance. For example, a person would have to have income of over £11,850, 2018/19 before paying tax at 20% and over £46,350, 2018/19 (£43,430 in Scotland) before paying at 40%.

Starting Rate for Savings - 2016/17, 2017/18 & 2018/19 is 0%. Only applies to those with taxable income under £16,000 2016/17, £16,500 2017/18 & £16,850 2018/19. For more information please go to FAQ - Can you explain the 0% Starting Rate for Savings and the Personal Savings Allowance?

Scottish taxpayers use the UK rates & tax bands for interest and dividends.

Posted in: General