Budget Summary — Table | ||
Note: It must be remembered that these proposals are subject to amendment during the passage of the Finance Bill. | ||
Personal Taxation | 2005/06 | 2004/05 |
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% |
Company Taxation | FY2005 | FY2004 |
Corporation tax rates | ||
All companies (except below) | 30% | 30% |
Companies with small profits | 19% | 19% |
19% rate limit | £300,000 | £300,000 |