Essential tax rates and thresholds for 2024/2025
Essential tax rates and thresholds for 2024/2025
Please find below a guide to the main tax rates and allowances updated in the Spring Budget, showing the main changes that will come in from 6 April 2024.
Tax rates for dividend income
| Dividends within | 2024/25 | 2023/24 |
|---|---|---|
| Basic rate band | 8.75% | 8.75% |
| Dividend allowance | £500 | £1,000 |
| Higher rate band | 33.75% | 33.75% |
| Dividend allowance | £500 | £1,000 |
| Additional rate band | 39.35% | 39.35% |
| Dividend allowance | £500 | £1,000 |
Personal allowances and reliefs
| Personal allowances and reliefs | 2024/25 £ | 2023/24 £ |
|---|---|---|
| Personal allowance | 12,570 | 12,570 |
| Income limit for personal allowance | 100,000 | 100,000 |
| Allowances for couples: | ||
| Marriage Allowance | 1,260 | 1,260 |
| Married couples: minimum (born before 6 April 1935) | 4,280 | 4,010 |
| Married couples: maximum (born before 6 April 1935) | 11,080 | 10,375 |
| Income limit for married couples’ allowance, born before 6 April1935 | 37,000 | 34,600 |
| Blind person’s allowance | 3,070 | 2,870 |
| Rent-a-room relief | 7,500 | 7,500 |
| Trading income allowance | 1,000 | 1,000 |
| Property income allowance | 1,000 | 1,000 |
| Savings allowance – basic tax band | 1,000 | 1,000 |
| Savings allowance – higher tax band | 500 | 500 |
Pension allowances
| Tax year: | 2024/25 £ | 2023/24 £ |
|---|---|---|
| Annual Allowance (AA) | 60,000 | 60,000 |
| Lifetime Allowance | Abolished | Abolished |
Corporation tax rates
| Year from 1 April | 2024 | 2023 |
|---|---|---|
| Main rate | 25% | 25% |
| Small Profits Rate | 19% | 19% |
| Small Profits Rate where profits don’t exceed: | £50,000 | £50,000 |
| Marginal Relief Lower Limit | £50,000 | £50,000 |
| Marginal Relief Upper Limit | £250,000 | £250,000 |
| Standard fraction | 3/200 | 3/200 |
CGT rates and annual exemptions
| Tax Year | Annual exempt amount | Tax rate paid by individuals within: | |||
|---|---|---|---|---|---|
| Individuals, personal representatives (PRs) and trusts for disabled | General trusts | Basic rate band | Higher tax bands | ||
| £ | £ | % | % | ||
| 2024/25 | 3,000 | 1,500 | 10 | 20 | |
| Residential Property | 18 | 24 | |||
| Carried interest | 18 | 28 | |||
| 2023/24 | 6,000 | 3,000 | 10 | 20 | |
| Residential property &carried interest | 18 | 28 | |||
VAT registration and deregistration limits
| Effective date | Registration turnover £ | Registration exception: turnover not exceeding £ | Deregistration turnover £ |
|---|---|---|---|
| 1 April 2024 | 90,000 | 88,000 | 88,000 |
| 1 April 2017 to 31 March 2024 | 85,000 | 83,000 | 83,000 |
High income child benefit charge (HICBC)
| Period child benefit received | Lower income threshold £ | Upper income threshold £ |
|---|---|---|
| From 6 April 2024 | 60,000 | 80,000 |
| From 7 January 2013 to 5 April 2024 | 50,000 | 60,000 |