PersonalTaxation

PERSONAL TAXATION

2005/2006

2004/2005
Personal Allowance

General £4,895 £4,745
Aged 65 or over in year of assessment £7,090 £6,830
Aged 75 or over in year of assessment £7,220 £6,950
Age allowance income limit £19,500 £18,900
Minimum where income exceeds limit £4,895 £4,745
Married Couple's Allowance (10% relief)

Either spouse born before 6 April 1935 £5,905 £5,725
Either spouse aged 75 or over in year of assessment £5,975 £5,795
Age allowance income limit £19,500 £18,900
Minimum where income exceeds limit £2,280 £2,210
Blind Person's Allowance £1,610 £1,560
Income Tax Rates

Starting rate 10% 10%

on taxable income up to

£2,090 £2,020
Basic rate 22% 22%
on taxable income from starting rate limit up to £32,400 £31,400
Higher rate 40% 40%
on taxable income over £32,400 £31,400
Lower rate on certain interest income 20% 20%
Lower rate on dividend income 10% 10%
Higher rate on dividend income 32.5% 32.5%