Chapter 3 - 3.2 - Calculation of Income Tax on Savings Income Flashcards
1
Q
What is the income tax rate 2023/2024 for savings income for the SRB?
A
Starting rate band
£0 - £5000 = 0%
2
Q
What is the income tax rate 2023/2024 for savings income for the BRB?
A
Basic rate band
£0 - £37,700 = 20%
3
Q
What is the income tax rate 2023/2024 for savings income for the HRB?
A
Higher rate band
£37,701 - £125,140 = 40%
4
Q
What is the income tax rate 2023/2024 for savings income for the ARB?
A
£125,140+ = 45%
5
Q
When does the starting rate only apply?
A
It only applies if savings income falls into the first £5000 of taxable income
