Sunday, October 05, 2008

Income Tax

Clicking here or on the title above will take you directly to the current allowances and rates for Income Tax.
What is the Personal Allowance at the moment?

If someone earns £7200 per annum, how much tax do they pay in the year 2007/2008? How much would they pay in 2008/2009?

In 2007/8 a care assistant earns £14,000 per annum, some of her tax is at the 'starting rate' and the remainder is paid at the 'basic rate'. How much tax does she pay? What is her net pay?
There was an uproar when the Chancellor announced changes to the tax rules so that there was no 'starting rate'. Why?

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