Income Tax
Savings starting rate limit:
Savings starting rate:
Basic rate band:
Basic rate:
Dividend ordinary rate:
Higher rate band:
Higher rate:
Dividend upper rate:
Additional rate band over:
Additional rate:
Dividend additional rate:
£5,000
0%
£0 – £37,700
20%
8.75%
£37,701 – £125,140
40%
33.75%
£125,140
45%
39.35%
Income Tax Allowances
Personal allowance
Personal allowance:
Income limit for personal allowance:
Marriage allowance
Marriage allowance (transferrable):
Blind person’s allowance
Blind person’s allowance:
Dividend allowance
Dividend allowance:
Personal savings allowance
Personal savings allowance for basic rate taxpayers:
£12,570
£100,000
£1,260
£3,070
£500
£1,000
High Income Child Benefit Charge
Arises on income over:
£60,000
Capital Gains Tax
Lower rate:
Higher rate:
Annual exemption (individuals):
Annual exemption (trusts):
Business Asset disposal relief (applicable rate):
Business asset disposal relief (lifetime limit):
10%
20%
£3,000
£1,500
10%
£1m
Inheritance Tax
Thresholds
Single person’s threshold:
Combined threshold limit for married couples and civil partners:
Residence nil rate band:
Tax rates
Main rate:
Chargeable on lifetime transfers:
Transfers on or within seven years of death:
Reduced rate:
£325,000
£650,000
£175,000
40%
20%
40%
36%
Tax reductions
0-3 years before death:
3-4 years before death:
4-5 years before death:
5-6 years before death:
6-7 years before death:
0%
20%
40%
60%
80%
Main exemptions
1. Most transfers between spouses and between civil partners. 2. First £3,000 of lifetime transfers in any tax year plus any unused from the previous year. 3. Gifts up to £250 p.a. to any number of persons. 4. Gifts made out of income that form part of normal expenditure and do not reduce the standard of living. 5. Gifts in consideration of marriage/civil partnership up to £5,000 by a parent, £2,500 by grandparents, or £1,000 by anyone else. 6. Gifts to charities, whether made during lifetime or on death.
Registered Pensions
Maximum annual tax-efficient gross contributions to age 74 (individuals):
Normal age for accessing benefits:
Maximum tax-free lump sum:
£3,600 or 100% of ‘NRE’ to £60,000*
55 (rising to 57 in 2028)
25% (limited to £268,275)
National Insurance
Class 1
Main NIC rate (employee):
Main NIC rate (employer):
No NIC on first (employee):
No NIC on first (employer):
Main rate charged up to (employee):
2% rate on earnings above (employee):
8%
13.8%
£242
£175
£967 per week
£967 per week
Class 2
Self employed:
Small profits threshold:
£3.45 per week
£12,570 per annum
Class 3
Voluntary:
£17.45 per week
Class 4
Self employed on profits below £12,570:
Self employed on profits £12,570-£50,270:
Self employed on profits above £50,270:
0%
6%
2%
Value Added Tax
Standard rate:
20%
Stamp Duty
Shares & Securities
Certain transfers of shares and securities of £1,000 and over:
Residential Property
Up to £250,000:
The proportion from £250,000 to 925,000:
The proportion from £925,000 to £1,500,000:
The remaining amount (the portion above £1,500,000):
First Home Stamp Duty
Up to £425,000:
The proportion from £425,000 to £625,000
Properties valued at over £500,000
Second Home & Buy-to-Let Properties
Stamp Duty surcharge (applicable to all purchases):
Purchased by Non UK Residents
Stamp Duty surcharge (applicable to all purchases):
0.5%
0%
5%
10%
12%*
0%
5%
Standard rates
3%
2%
ISA & Junior ISA
ISA Annual investment limit:
Lifetime ISA
Junior ISA Annual investment limit:
£20,000
£4,000
£9,000
Corporation Tax
Main rate (profits above £250,000):
Small profits rate (profits of less than £50,000)
25%
19%
Investment Reliefs
Enterprise Investment Scheme Limit:
Enterprise Investment Scheme Limit relief rate:
Venture Capital Trust Limit:
Venture Capital Trust relief rate:
Seed Enterprise Investment Scheme Limit:
Seed Enterprise Investment Scheme relief rate:
£1,000,000
30%
£200,000
30%
£200,000
50%
Awards, Accreditations & Trade Associations
NorthStar is proud to be a member of the leading financial planning trade associations. Through a continued commitment to adhere to the highest professional standards and deliver exceptional service, NorthStar has received a number of awards and professional accreditations.
