Tax Rates PDF

Tax Rates 2025/2026

www.scruttonbland.co.uk

Income Tax Rates and bands (other than savings and dividend income) 2025/26 2024/25 Band £ Rate % Band £

Rate %

0 - 37,700

20 0 - 37,700

20 40

37,701 - 125,140

40 37,701 - 125,140

Over 125,140 45 Income tax rates in Scotland and Wales on income other than savings and dividend income have been devolved. Savings income 2025/26 and 2024/25 Savings allowance basic rate £1,000 Savings allowance higher rate £500 A starting rate of 0% may be available unless taxable non-savings income exceeds £5,000. Dividend income 2025/26 2024/25 Dividend allowance £500 £500 Dividend ordinary rate 8.75% 8.75% Dividend upper rate 33.75% 33.75% Dividend additional rate 39.35% 39.35% Income Tax Allowances 2025/26 2024/25 Personal allowance £12,570 £12,570 Personal allowance income limit £100,000 £100,000 Marriage allowance £1,260 £1,260 Married couple’s allowance £11,270 £11,080 - minimum amount £4,360 £4,280 - income limit £37,700 £37,000 Blind person’s allowance £3,130 £3,070 Inheritance Tax Death rate Lifetime rate 45 Over 125,140 Chargeable transfers 2025/26 and 2024/25

Nil

Nil

0 - £325,000 (nil rate band)

40% Over £325,000 A further nil rate band of £175,000 may be available in relation to current or former residences. 20%

Car, Van and Fuel Benefits 2025/26 CO 2 emissions g/km

% of list price taxed

0

3

1 - 50 Electric range 130 or more

3 6 9

70 - 129 40 - 69 30 - 39 under 30

13 15 16 +1

51 - 54

For every extra 5

155 and above 37 For fully diesel cars generally add a 4% supplement (unless the car is registered on or after 1 September 2017 and meets the Euro 6d emissions standard) but the maximum is still 37%. For emissions of 75g/km or more if the CO 2 figure does not end in a 5 or 0 round down to the nearest 5 or 0. 2025/26 Car fuel benefit £28,200 Van benefit £4,020 Van fuel benefit £769 Stamp Duty Land Tax Land and buildings in England and N. Ireland Residential rates may be increased by 5% where further residential properties are acquired. Residential Band £ Rate % Non-residential Band £ Rate % 0 - 125,000 0 0 - 150,000 0 125,001 - 250,000 2 150,001 - 250,000 2 250,001 - 925,000 5 Over 250,000 5 925,001 - 1,500,000 10 Over 1,500,000 12 First-Time Buyer relief may apply to residential purchases up to £500,000.

National Insurance 2025/26 Class 1 (employed) rates Employee

Employer

Earnings per week

% Earnings per week

% Nil

Up to £242

Nil

Up to £96

£242.01 - £967

8 Over £96

15

Over £967 2 Entitlement to contribution-based benefits for employees retained for earnings between £125 and £242 per week. The employer rate is 0% for certain military veterans, employees under 21 and apprentices under 25 on earnings up to £967 per week. Class 1A (employers) 15% on employee taxable benefits Class 1B (employers) 15% on PAYE Settlement Agreements Class 2 (self-employed) nil (£3.50 per week where those with profits below £6,845 wish to make a voluntary contribution)

Class 3 (voluntary) flat rate per week £17.75 Class 4 (self-employed)

6% on profits between £12,570 and £50,270 plus 2% on profits over £50,270

Capital Gains Tax Individuals

2025/26

2024/25

Exemption

£3,000

£3,000

Standard rate

18% 10/18*% 24% 20/24*%

Higher/additional rate

Trusts Exemption

£1,500

£1,500

Rate

24% 20/24*%

*The 18/24% rates apply to disposals on/after 30 October 2024. The 18/24% rates may apply to the disposal of certain residential property for both years. Business Asset Disposal Relief The first £1m of qualifying gains are charged at 10% for 2024/25 and 14% for 2025/26.

Individual Savings Accounts

2025/26 £20,000

2024/25 £20,000

Overall investment limit

Junior account investment limit

£9,000

£9,000

Corporation Tax

Rate %

Years to 31.3.25 and 31.3.26

Profits band £

Small profits rate

0 - 50,000

19

Marginal rate

50,001 - 250,000 26.5

Main rate

Over 250,000

25

Marginal relief fraction 3/200 Profits limits are reduced for a company with associated companies. Different rates apply for ring-fenced (broadly oil industry) profit. Capital Allowances

First Year Allowance (FYA) on certain plant, machinery and cars of 0g/km (for cars purchased before 1 April 2026 (6 April 2026 for income tax)) Corporation tax FYA (‘full expensing’) on certain new, unused plant and machinery Corporation tax FYA on new, unused long-life assets, integral features of buildings, etc. Annual Investment Allowance £1,000,000 excluding cars Writing Down Allowance Long-life assets, integral features of buildings, cars over 50g/km

100%

100%

50%

6%

18%

Other plant and machinery

3%

Structures and Buildings Allowance

Pensions

2025/26 £268,275 £1,073,100

2024/25 £268,275 £1,073,100

Lump sum allowance

Lump sum and death benefit allowance

Annual allowance

£60,000

£60,000 £10,000

Money purchase annual allowance £10,000

Value Added Tax

From 1.4.25 From 1.4.24

Standard rate Reduced rate

20%

20%

5%

5%

Annual Registration Limit Annual Deregistration Limit

£90,000 £88,000

£90,000 £88,000

Selected Rates

2025/26

2024/25

Weekly benefit

£

£

New State Pension Old State Pension

230.25 176.45

221.20 169.50

Statutory pay standard rates Sick Pay

118.75 187.18 187.18 187.18

116.75 184.03 184.03 184.03

Maternity/Adoption Pay Shared Parental Pay

Paternity Pay

National Living Wage and National Minimum Wage Age

NLW 18-20 16-17 Apprentices

From 1 April 2025 £7.55 Applies to apprentices under 19 or 19 and over in the first year of apprenticeship. NLW applies to those aged 21 and over. £12.21 £10 £7.55

Tax Reliefs for Individuals 2025/26 and 2024/25 Enterprise Investment Scheme (EIS) Relief on investments in certain unquoted trading companies up to £1m per annum (£2m for knowledge intensive companies): • Income tax relief at 30% • Capital gains exemption on disposal Unlimited amounts of capital gains from the disposal of other assets may be able to be deferred by making an EIS investment. Seed Enterprise Investment Scheme (SEIS) Relief on investments in certain unquoted trading companies up to £200,000 per annum: • Income tax relief at 50% • Capital gains exemption on disposal Capital gains from the disposal of other assets may be exempt up to £100,000 per annum by making an SEIS investment. Venture Capital Trusts (VCTs) Relief on investments in certain quoted companies up to £200,000 per annum: • Income tax relief at 30% • Capital gains exemption on disposal Dividends received from VCTs may be exempt from income tax.

Disclaimer: Rates are for guidance only. No responsibility for loss occasioned by any person acting/refraining from action as a result of this information can be accepted by the authors or firm.

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