Allowances, bands and rates - London

Monday, 2 January 2017

Item details

City: London, England
Offer type: Offer
Price: £200


Contact name Rajesh Vekaria
Phone 020 8200 0016

Item description

FinSol Tax Advisors is one of the leading Accountancy Firms in London who provide the all kind of accountancy service in London.
Income tax operates through a system of allowances and bands of income. Each individual has a personal allowance, which is deducted from total income before tax to give taxable income. Taxpayers receive a basic personal allowance of £11,000. Previously those born before 6 April 1938 were entitled to a higher age-related allowance (ARA), but that was abolished in 2016–17. Since 2015–16, a married person with some unused personal allowance is able to transfer up to 10% of that allowance to a higher-earning spouse, as long as the higher earner is not paying higher- or additional-rate income tax.
Taxable income (i.e. income above the personal allowance) is subject to different tax rates depending upon the band within which it falls. Up to the basic-rate limit (£32,000 in 2016–17), taxable income is subject to the basic rate of 20%. Taxable income between the basic-rate limit and the higher-rate limit of £150,000 is subject to the higher rate of 40%, and the additional rate of 45% is payable on income above £150,000.
Our team provides excellent accounting services that are personally tailored to your needs. If you need any suggestion about our accounts kindly contact us.