TAX RATES AND ALLOWANCES - 2011/12

Allowances                                                                    2010/11                 2011/12

                                                                                         £                            £

Personal Allowance (under 65)                                         6,475                      7,475

Personal allowance (65-74)                                              9,490                      9,940

Married Couples Allowance (75+)                                     6,965                      7,295

Income limit for personal allowance                             100,000                  100,000

Income Tax Bands

10% Starting rate (applies to savings income only)         0-2,440                  0-2,560

20% Basic rate                                                            0-37,400                0-35,000

40% Band                                                               37,401-150,000     35,001-150,000

50% Highest rate                                                         150,001+               150,001+

Dividend income upto basic rate limit                             10%                        10%

Dividend rate within 40% band                                      32.50%                   32.50%

Dividend income at highest rate                                   42.50%                   42.50%