We will prepare or assist with your personal, partnership or corporate self-assessment tax returns. We can also give you effective advice to minimise your mainstream tax liabilities.


Income Tax Rates

RATES	%	2010/2011 (£)	%	2009/2010 (£)
Starting	10	0 to 2,440	10	0 to 2,440
Basic	20	0 to 37,400	20	0 to 37,400
Higher	40	37,401 - £150,000	40	37,401 and above
Additional	50	£150,000		N/A

Notes

From 2008-09 there is a 10% starting rate for savings income only. If your taxable non-savings taxable income is above this limit then the 10% starting rate for savings will not apply.

The rates available for dividends are the 10% t ordinary rate and the 32.5% dividend upper rate. From 6th April 2010 there is an additional dividend rate of 42.5% for high earners.


Income Tax Allowances

ALLOWANCES	2010/20110 (£)	2009/2010 (£)
Personal allowance: under 65	6,475	6,475
Personal allowance reduced by 50% of income over	£100,000	N/A
Personal allowance: 65 to 74	9,490	9,490
Personal allowance: 75 and above	9,640	9,640
Married couple's allowance *1: both under 65	nil	nil
Married couple's allowance: 65 to 74	N/A	N/A
Married couple's allowance: 75 and above	6,965	6,965
Income limit for age allowances	22,900	22,900
Minimum married couple's allowance *2	2,670	2,670
Blind person's allowance	1,890	1,890

Notes

(1) These allowances reduce where the income is above the income limit - by £1 for every £2 of income above the limit. However they will never be less than the basic Personal Allowance or minimum amount of Married Couple's Allowance.

(2) Tax relief for the Married Couple's allowance is given at the rate of 10 per cent.

(3) In the 2009-10 tax year all Married Couple's Allowance claimants in this category will become 75 at some point during the year and will therefore be entitled to the higher amount of the allowance - for those aged 75 and over.


National insurance rates
The following national insurance rates apply.

CLASS	RATES	2010/2011	2009/2010
Class 1 (earnings related)	Lower earnings limit	£97	£95
	Upper earnings limit (employees only)	£844	£844
	Earnings threshold (employees only)	£110	£110
	Employee rate (standard)	11%(of £110.01 to £844), 1% (above £844)	11%(of £110.01 to £844), 1% (above £844)
	Employer rate	12.8%(on earnings above £110)	12.8%(on earnings above £110)
Class 2 (self-employed flat rate)	Per week	£2.40	£2.40
	Small earnings exception (per year)	£5,075	£5,075
Class 3 (voluntary)	Per week	£12.05	£12.05
Class 4 (self-employed)	Lower profit limit (per year)	£5,715	£5,715
	Upper profit limit (per year)	£43,875	£43,875
	Rate	8% (of £5,715 to £43,875), 1% (above £43,875)	8% (of £5,715 to £43,875), 1% (above £43,875)

Follow this link to view the Tax Credits Table....


Corporation Tax

£ per year (unless stated)	2010/11	2009/10
Small Companies Rate	0-300,000	0-300,000
	21%	21%
Marginal relief	300,001-1,500,000	300,001-1,500,000
Effective marginal rate	29.75%	29.75%
Main rate	1,500,001 or more	1,500,001 or more
	28%	28%

Capital allowances

The chancellor has announced changes to annual investment allowance from April 2012 reducing the maximum qualifying expenditure from £100,000 to £25,000. The current capital allowances rates are:

Capital Type		Allowance Rate
Machinery and plant, normal rate	20%	Reducing balance
Machinery and plant, first year allowance	40%	2009/10 only
Machinery and plant, annual investemnt allowance	100%	New expenditure up to £100,000 (was £50,000) from April 2010
Machinery and plant, long life assets	10%	Reducing balance
Motor cars	20%	Reducing balance (max £3,000 pa)
Low emission and electric cars (and vans from Aptil 2010)	100%
Industrial buildings and qualifying hotels 2009/10 2010/11 2011/12	2% 1% 0%	Of cost per annum
Commercial/industrial buildings in an enterprise zone	100%
Agricultural buildings 2009/10 2010/11 2011/12	2% 1% 0%	Of cost per annum
Scientific research (large companies)	130%
Scientific research (small companies)	175%
Know how	25%	Reducing balance
Patent rights	25%	Reducing balance
Energy efficient & environmentally beneficial technologies	100%

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