TAX RATES TABLES 2011 / 2012
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2011/12
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2010/11
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Band £
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Rate %
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Band £
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Rate %
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0 - 2,560
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10*
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0 - 2,440
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10*
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0 - 35,000
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20**
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0 - 37,400
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20**
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35,001 - 150,000
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40***
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37,401 - 150'000
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40***
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Over 150,000
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50****
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over 150'000
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50****
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*Only applicable to dividends and savings income. The 10% rate is not available if taxable non-savings income exceeds £2,440.
** Except dividends (10%).
*** Except dividends (32.5%).
**** Except dividends (42.5%).
Other income taxed first, then savings income and finally dividends
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2011/2012, GBP
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Personal allowance
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- under 65
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7,475
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- 65 - 74*
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9,940
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- 75 and over*
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10,090
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(For 2010/11 reduce personal allowance by £1 for every £2 of adjusted
net income over £100,000.)
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Married couple's allowance (relief at 10%)
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- 75 and over*
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7,295
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- min. amount
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2,800
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* Age allowance income limit
(Reduce age allowance by £1 for every £2 of excess income
over £22,900.)
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24,000
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Blind person’s allowance
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1,980
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2011/12, GBP
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2010/11, GBP
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Working Tax Credit
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Basic element - max.
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1,920
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1,920
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Childcare element
80% of eligible costs up to £175 per week (£300 if two or more children).
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Child Tax Credit (CTC)
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Child element per child - max.
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2,555
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2,300
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Family element
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545
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545
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Baby addition
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-
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545
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Reductions in maximum rates
41% (39%) of income above £6,420* p.a.
*If only CTC is claimed, the threshold is £15,860 (£16,190) p.a. The family element of CTC is not reduced unless income is more than £40,000 (£50,000) p.a. when the withdrawal rate is 41% (6.67%).
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Company cars 2011/12
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CO2 emissions (gm/km)
(round down to nearest 5gm/km)
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% of car’s list price taxed
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up to 125
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15
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130
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16
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135
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17
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140
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18
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145
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19
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150
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20
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155
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21
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160
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22
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165
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23
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170
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24
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175
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25
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180
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26
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185
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27
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190
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28
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195
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29
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200
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30
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205
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31
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210
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32
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215
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33
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220
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34
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225 and above
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35
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Cars and vans
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2011/12
Rate per mile
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Up to 10,000 miles
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45p
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Over 10,000 miles
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25p
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Bicycles
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20p
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Motorcycles
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24p
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These rates represent the maximum tax free mileage allowances for employees using their own vehicles for business. Any excess is taxable. If the employee receives less than the statutory rate, tax relief can be claimed on the difference.
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2011/12
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GBP
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Overall annual investment limit
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10,680
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Comprising
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- cash up to
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5,340 max.
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- balance in stocks and shares
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10,680 max.
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Years to 31.3.12
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Profits band, GBP
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Rate, %
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Small companies rate
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0 - 300,000
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20*
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Marginal (small companies) rate
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300,001 - 1,500,000
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27.5*
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Full rate
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Over 1,500,000
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26*
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Small companies fraction
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3/200*
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The profits limits are reduced for accounting periods of less than 12 months and for a company with associated companies.
*Different rates apply for ring-fenced (broadly oil industry) profit.
Plant and machinery - Annual Investment Allowance (AIA)
The AIA gives a 100% write-off on most types of plant and machinery costs, including integral features and long life assets but not cars, of up to £100,000 p.a. (£50,000 for expenditure incurred before 6 April 2010 (1 April 2010 for companies). Special rules apply for accounting periods straddling these dates.)
Any costs over the AIA fall into the normal capital allowance pools at either 10% or 20%. The AIA may need to be shared between certain businesses under common ownership.
Other plant and machinery allowances
The annual rate of allowance is 20%. A 10% rate applies to expenditure incurred on integral features and on long life assets. A 100% first year allowance may be available on certain energy efficient plant and cars, including expenditure incurred on new and unused zero emission goods vehicles on or after 6 April 2010 (1 April 2010 for companies).
Cars
For expenditure incurred on cars on or after 6 April 2009 (1 April 2009 for companies), costs are generally allocated to one of the two plant and machinery pools. Cars with CO2 emissions not exceeding 160gm/km receive a 20% allowance p.a. Cars with CO2 emissions over 160gm/km receive a 10% allowance p.a.
Industrial and agricultural buildings and hotels
The annual rate of allowance is nil (1%) from 6 April 2011 (1 April 2011 for companies). Special rules apply for accounting periods straddling these dates.
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Standard rate
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20%
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Reduced rate
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5%
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Annual Registration Limit - from 1.4.11 (1.4.10 - 31.3.11 £70,000)
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£73,000
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Annual Deregistration Limit - from 1.4.11 (1.4.10 - 31.3.11 £68,000)
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£71,000
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2011/2012
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23 JUN 10 -
5 APR 11
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Individuals
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GBP
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GBP
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Exemption
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10,600
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10,100
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Standard rate
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18%
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18%
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Higher rate*
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28
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28%
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Trusts
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Exemption
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5,300
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5,050
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Rate
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28%
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28% (18%)
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*For higher and additional rate taxpayers
Entrepreneurs’ Relief
For disposals on or after 6 April 2011 the first £10m (£5m for disposals on or after 23 June 2010 and before 6 April 2011) of qualifying gains are charged at 10%. Gains in excess of the limit are charged at the rates detailed above.
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Death rate, %
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Lifetime rate, %
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Chargeable transfers
2011/12 and 2010/11
£’000
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Nil
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Nil
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0 - 325*
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40
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20
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Over 325*
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*Potentially increased for surviving spouses or civil partners who die on or after 9 October 2007.
Reliefs
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GBP
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GBP
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Annual exemption
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3,000
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Marriage
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- parent
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5,000
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Small gifts
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250
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- grandparent
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2,500
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- bride/groom
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2,500
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- other
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1,000
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Reduced charge on gifts within seven years of death
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Years before death
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0-3
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3-4
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4-5
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5-6
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6-7
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% of death charge
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100
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80
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60
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40
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20
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Land and buildings (on full consideration paid)
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Rate
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Residential property*
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Non-residential
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Disadvantaged areas,
GBP
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Other,
GBP
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GBP
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Nil
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0 - 150,000
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0 - 125,000
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0 - 150,000
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1%*
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150,001 - 250,000*
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125,001 - 250,000*
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150,001 - 250,000
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3%
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250,001 - 500,000
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250,001 - 500,000
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250,001 - 500,000
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4%
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500,000 - 1,000,000
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500,000 - 1,000,000
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Over 500,000
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5%
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Over 1,000,000**
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Over 1,000,000**
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-
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* Relief available for first time buyers for transactions with an effective date on or after 25 March 2010 and before 25 March 2012.
Shares and securities - rate 0.5%.
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Class 1 (employed) contracted in
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2011/12 Rates
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Employee
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Employer
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Earnings per week
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%
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Earnings per week
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%
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Up to £139
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Nil*
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Up to £136
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Nil
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£139.01 - £817
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12
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Over £136
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13.8
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Over £817
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2
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* Entitlement to contribution-based benefits retained for earnings between £102 and £139 per week
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Class 1A (employers)
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13.8% on employee taxable benefits
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Class 1B (employers)
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13.8% on PAYE Settlement Agreements
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Class 2 (self-employed)
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flat rate per week £2.50
small earnings exception p.a. £5.315 p.a.
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Class 3 (voluntary)
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flat rate per week £12.60
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Class 4 (self-employed)
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9% on profits between £7,225 and £42,475 plus 2% on profits over £42,475
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