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UK income tax rates 2021/2022

Below is the UK income tax rates 2021/2022 to help you to calculate your income tax liability. Your self-assessment period is from 6 April to 5 April and you must deliver your self-assessment return to HMRC by 31 January each year.

England, Wales and Northern Ireland Income tax rates 2021/2022

Personal Allowanceup to £12,570 per year0%
Basic rate£12,570 to £37,70020%
Higher rate£37,701 to £150,00040%
Additional rate over£150,00045%
Source: GOV.UK

Scotland Income tax rates 2021/2022

Personal AllowanceUp to £12,5700%
Starter rateOn annual earning above the PAYE tax threshold and up to £2,09719%
Basic rateon annual earnings from £2,098 to £12,72620%
Intermediate rate£12,727 to £31,09221%
Higher rate£31,093 to £150,00041%
Top rateabove £150,00046%
Source: GOV.UK

Self-employed through a limited company

If you are self-employed individual trading through a limited company and you withdraw money from your company through salary and dividend payment, your salary and dividend amount enter in your self-assessment return form must agree to your signed and dated company accounts and corporation tax return filed with HMRC.

Your total salary for the tax year can also be obtained from your P60 form.

Take note that corporation tax rates 2020/2022 are not the same as the UK income tax rates 2021/2022.

In addition to the above, there is another important document you must submit to Companies House for your limited company that is your confirmation statement.

If you require help with your company accounts, corporation tax return, self-assessment return and confirmation statement filings, feel free to contact our accountants and they will be more than happy to help you.

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