2019-rates-and-allowances

Published: 11 Mar 2020

Updated: 12 Mar 2020

 

Written by Ray Coman

 

State pension

2019-20    

2018-19         
Weekly   Annual    Weekly   Annual
         
Single Tier Pension     £168.60 £8,767.00 £164.35 £8,546.40
Basic State Pension £129.20 £6,718.40 £125.95 £6,549.40
Basic State Pension Married Couple £206.65 £10,745.80 £201.45 £10,475.40


Capital Gains

  2019-20 2018-19 Note
Annual Exemption:      
Individuals £12,000 £11,700  
Trusts £6,000 £5,850  
Entrepreneurs' relief: lifetime allowance £10 million £10 million  
Investors Relief: lifetime allowance £10 million £10 million  
Basic and starting rate taxpayers 10% 10% A
Higher and additional rate tax payers 20% 20% A
Trusts and personal representatives 20% 20% A
Rate where entrepreneurs/investors relief applies 10% 10%  

 Gains on carried interest and and chargeable residential property - 8% surcharge.

 

Research and Development Relief:

Relief for qualifying revenue expenditure is as follows:

  2019-20  2018-19 Note
SME enhanced deduction scheme    130% 130% A
SME cash credit for R&D loss surrendered  14.50% 14.50%    B
Large company above the line scheme credit    12% 12% C

A Additional (enhanced) tax deduction available for qualifying R&D expenditure

B From 1 April 2020, the payable R&D tax credit in any tax year is restricted to three times the company's total PAYE and NIC liability for that year.

Taxable credit available on qualifying R&D expenditure.
 

EU definition of small and medium sized companies for R&D tax relief purposes

 

  Since 1 August 2008 Before 1 August 2008
Employees <500 <250
Turnover ≤€100 million ≤€50 million
Balance sheet assets ≤€86 million ≤€43 million


National Insurance Contributions on Employment

Class 1 2019-20
Employer  Employee
Earnings per week Rate Payable  Earnings per week Rate payable
£0.01 - £166.00 Nil £0.01 - £166.00 Nil
£166.01-£892.00 13.80% £162.01-£962.00  12% 
Over £892.00 13.80% Over £962.00 2%
Class 1A & 1B (employers only)   13.80%    
Class 2 (self employed) £3.00 per week (small profits threshold £6,365)  
Class 3 (voluntary) £15.00 per week    
Class 4 (self employed) Profits up to £8,632 0%
Profits from £8,632 to £50,000   9%
  Profits above £50,000 per annum 2%


Pension Rates

 

 

2019-20 2018-19 Note

Lifetime Allowance

£1,055,000 £1,030,000  

Annual Allowance

£40,000 £40,000 A

A Up to the lower of 100% of earnings or the maximum contribution. Maximum contribution is the annual allowance plus unutilised allowances from the three previous tax years. Up to £3,600 may be contributed, irrespective of earnings. Annual allowance reduced by £1 for every £2 income over £150,000 to a minimum of £10,000, and to £4,000 maximum if certain pension drawings are made. 

 

Car Benefit Charge 2019-20

Co2 Emissions g/km Petrol Engine % Diesel Engines %
50 or less 16 20
51-75 19 23
76-94 22 26
95-99 23 27
100-104 24 28
105-109 25 29
110-114 26 30
115-119 27 31
120-124 28 32
125-129 29 33
130-134 30 34
135-139 31 35
140-144 32 36
145-149 33 37
150-154 34 37
155-159 35 37
160-164 36 37
165-169

37

37
170-174 37 37
175-179 37 37
180 and above 37 37


Van benefit charge

  2019-20 2018-19
Van benefit charge £3,430 £3,350

  

Fuel Benefit charge

  2019-20 2018-19
Car Fuel Benefit Charge Multiplier £24,100 £23,400
Van Fuel Benefit Charge Multiplier £655 £633


Vans


An annual charge in the above table applies for private use of company vans, except for commuting and incidental private use. A further charge, as per the above table applies for the provision of private fuel, reduced by employee contributions.

Car benefit Percentage of list price (see below)
Fuel benefit £23,400
CO2 emissions (g/km): Diesel Petrol
0-50 17% 13%
51-75 20% 16%
76-94 23% 19%
Each additional 5 Further 1% Further 1%

Notes:

Benefit of electric vehicle 13%
Diesel vehicles meeting RDE2 standards will be exempt from diesel supplement. 

 

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