UK Tax Tables 2008/2009

Tax Rates and Allowances

2007-08 (£) 2008-09 (£) Increase (£)
INCOME TAX ALLOWANCES:
Personal allowance 5,225 6,035 +210
CAPITAL GAINS TAX ANNUAL EXEMPT AMOUNT:
Individuals etc: 9,200 9,600 +400
Other trustees: 4,600  4,800 +200
Inheritance tax threshold 300,000 312,000 +12,000
PENSIONS SCHEMES:
Annual allowance: £225,000 £235,000 +10,000
Lifetime allowance: 1,600,000 1,650,000 +50,000

Taxable Bands

Taxable bands 2007-08 (£) Taxable bands 2008-09 (£)
Starting rate 10% 0 - 2,230 - -
Basic rate 22% 2,231 - 34,600 Basic rate 20% 0 - 34,800
Higher rate 40% Over 34,600 Higher rate 40% Over 34,800

Corporation Tax Rates

Band Corporation tax profits 2007-08 (£) Corporation tax profits 2008-09 (£)
0 - 300,000 20% 21%
300,001 - 1,500,000 Marginal relief Marginal relief
1,500,001 or more 30% 28%

* The Small companies rate rose to 21% in April 2008, and will then rise to 22% in April 2009.

REV2: National Insurance Rates

2007-08 2008-09
Primary threshold £100 per week £105 per week
Secondary threshold £100 per week £105 per week
Employees’ primary class 1 rate on earnings between primary threshold and upper earnings limit 11% of £100.01 to £670 per week 1% above £670 per week 11% of £105.01 to £770 per week 1% above £770 per week
Employers’ secondary Class 1 rate 12.8% on earnings above £100 per week 12.8% on earnings above £105 per week
Class 4 rate 8% of £5,225 to £34,840 per year 1% above £34,840 per year 8% of £5,435 to £40,040 per year 1% above £40,040 per year
Class 4 lower profits limit £5,225 per year £5,435
Class 4 upper profits limit £34,840 per year £40,040

For further rates and allowances and historic tables see HMRC.

  
Bookmark and Share
  
     
  

Latest Site Updates

ContractorCalculator: Contracting news in brief – 29/May/2015 ContractorCalculator: Contracting news in brief – 29/May/2015

News this week covers: Queen’s speech lends hope; global skills gap; top roles for contractors; retail at 27-year high & umbrella company shares all.

Contractors unclear on pensions reforms, potentially threatening retirement plans Contractors unclear on pensions reforms, potentially threatening retirement plans

Contractors remain unclear on how retirement plans can benefit from pensions reforms introduced in April 2015, warns Contractor Wealth’s Angela James.

Getting a contractor mortgage – process and timings Getting a contractor mortgage – process and timings

Contractors should secure a robust mortgage finance agreement from their lender before they even start to look at properties, says Taj Kang of CMME.

Contracting legislation: key laws affecting contractors Contracting legislation: key laws affecting contractors

Contractors, like any UK business, have to comply with legislation. Some rules, such as IR35 and the MSC legislation, are mainly aimed at contractors.


  
  

Twitter

Follow Us On Twitter


  
     

  
  

Contractor solutions

Contractors Handbook IR35 Report - 15 Years IR35 Test Clever Accounts Accountants Checklist CFSC Left Sky
  
  

Contractor solutions

Clever Accounts

Complete contractor accounting service. 24/7 online access. £69 pm!

Contractor Angels

Take home over 88% from your income. 100% compliant. Calculate now!

Power Accountax - £59/month!

Full package £59/month. IR35 Accredited Chartered Accountants

InTouch Accounting

Perfect mix of technology & personal service for only £92 per month.

Parasol

The UK’s largest employment organisation - 0% risk, 100% compliance

NA D J Colom Accountants Bedouin Group Mortgages NewsNow
  
Contractor Insurance Life Insurance

  

The UK's leading contractor site. Independently audited traffic (ABC) – 135,209 monthly unique visitors.