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CH Accountancy
CH Accountancy

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Rates and Allowances

Below are the main tax rates and allowances for your ease of reference


 

Income Tax Allowances 

 

2017-18

£

2016-17

£

Personal Allowance

11,500

11,000

Income Limit

100,000

100,000

Married Couple’s Allowance (Over 77)

8,445

8,355

Blind Person’s Allowance

2,320

2,290

Transferable Marriage Allowance
(incl. Civil Partners)

1,150

1,100

Dividend Allowance

5,000

5,000

Personal Savings Allowance
Basic rate taxpayers
Higher rate taxpayers

1,000
500

1,000

500

Trading Allowance 1,000 N/A
Property Income Allowance 1,000 N/A

Tax Bands

 

2017-18

£

2016-17

£

Basic Rate/Standard Rate/
Dividend Ordinary Rate

0 - 33,500

0 - 32,000

Higher Rate/Dividend Upper Rate

33,501 - 150,000

32,001 - 150,000

Additional Rate/Dividend Additional Rate

Over
150,000

Over 150,000


Income Tax Rates 

 

2017-18

%

2016-17

%

Basic Rate

20

20

Higher Rate

40

40

Additional Rate

45

45

Dividend Ordinary Rate

7.5

7.5

Dividend Upper Rate

32.5

32.5

Dividend Additional Rate

38.1

38.1

 

National Insurance Contributions

CLASS 1 (Earnings Related) 2017-18

 

EMPLOYEES (Weekly Earnings)

 

First £157

Nil

£157.01 - £866

12%

Over £866

2%

EMPLOYERS (Weekly Earnings)

 

First £157

Nil

Over £157

13.8%

Under 21s, £0 - £886

Nil

 

CLASS 1 (Earnings Related) 2016-17

 

EMPLOYEES (Weekly Earnings)

 

First £155

Nil

£155.01 - £827

12%

Over £827

2%

EMPLOYERS (Weekly Earnings)

 

First £156

Nil

Over £156

13.8%

Under 21s, £0 - £827

Nil

 


2017-18

2016-17

EMPLOYMENT ALLOWANCE

£3,000

£3,000

Class 1A & Class 1B

13.8%

13.8%

Class 2 (Self Employed)

£2.85
per week

£2.80
per week

Small profits threshold

£6,025

£5,965

Class 3 (Voluntary)

£14.25
per week

£14.10
per week

Class 4 (Self Employed)

 

 

Lower Limit Allowance

£8,164

£8,060

Upper Limit Allowance

£45,000

£43,000

Below Lower Limit Rate

Nil

Nil

Between Lower & Upper Limit Rate

9%

9%

Over Upper Limit

2%

2%


Inheritance Tax

 

2017-18

£

2016-17

£

Nil-rate band

 £325,000

£325,000

Residence nil-rate band

£100,000

N/A

Rate of tax on excess

40%

40%

Chargeable lifetime transfers are initially charged at 20%

Annual gifts of up to £3,000 per donor are exempt.


Capital Gains Tax

 

2017-18

2016-17

Annual Exempt Amount

 £11,300

£11,100

Standard Rate (Individuals)

10%

18%

Higher Rate (Individuals)

20%

20%

Standard Rate (Residential Property)

18%

18%

Higher Rate (Residential Property)

28%

28%


Corporation Tax

 

2017-18

2016-17

Rate

 19%

20%

Stamp Duty 2017-18


2015-16

RATE

Residential – Purchase Price

 

£0 - £125,000

0%

£125,001 - £250,000

2%

£250,001 - £925,000

5%

£925,001 - £1,500,000

10%

 Over £1,500,000

12%

Non-Residential – Purchase Price

 

£0 - £150,000

0%

£150,001 - £250,000

2%

Over £250,000

5%

Leases
(Rent – on band of net present value)

 

Residential

Non Residential

 

Up to £125,000

Up to £150,000

Nil

Over £125,000

£150,001 - £5,000,000

1%

 

Over £5,000,000

2%


Company Car Benefit

CO2 emissions (2017/18)

% of list price

Grams per km

Petrol

Diesel

50

9

12

15-75

13

16

76-94

17

20

95-99

18

21

100-104

19

22

105-109

20

23

110-114

21

24

115-119

22

25

120-124

23

26

125-129

24

27

130-134

25

28

135-139

26

29

140-144

27

30

145-149

28

31

150-154

29

32

155-159

30

33

160-164

31

34

165-169

32

35

170-174

33

36

175-179

34

37

180-184

35

37

185-189

36

37

190 or moe

37

37

Car Fuel benefit is calculated by applying the above car benefit percentage to a figure of £22,600.

Tax-Free Mileage Allowance

 Employee’s own car/van

2017-18

2016-17

Up to 10,000 business miles

45p

45p

Over 10,000 business miles

25p

25p

Each passenger making the same trip

5p

5p

Motorcycles

24p

24p

Cycles

20p

20p


Value Added Tax

 

2017-18

2016-17

Standard Rate 

20%

20%

Lower Rate 

5%

5%

Registration Threshold

£85,000 pa

£83,000 pa

De-registration Limit

£83,000 pa

£81,000 pa


 

 

 

To Join

To Leave

Annual Accounting Scheme Turnover Limit

£1,350,000 pa

Over £230,000 pa

Cash Accounting Scheme Turnover Limit

£1,350,000 pa

Over
£1.6m pa

Flat Rate Scheme Turnover Limit

£150,000 pa

Over
£1.6m pa

Individual Savings Accounts

 

2017-18

£

2016-17

£

Overall Annual Limit

20,000

15,240

Over 10,000 business miles

4,128

4,080

Lifetime ISA Annual Limit  4,000  N/A
 Help to Buy ISA Monthly Limit  200  200