4 Million Will Pay Higher Rate Tax
Published / Last Updated on 30/04/2012
4 Million Will Pay Higher Rate Tax.
According to forecasts by HM Revenue & Customs (HMRC) , 3.8 million people will be taxed at the 40% higher rate during this financial year and a further 307,000 will be taxed at the 50% additional rate.
The total number of income tax payers is scheduled to fall again this year, from 30.1m to 29.7m, as more of the lowest paid are excluded from paying income tax altogether, as the personal tax allowance is increased. The number of people forecast to pay the basic rate of tax of 20%, will fall from 27.1 million to 24.8 million.
HMRC figures show that 6,000 people are expected to be taxed on incomes of between £1m and £2m, with an average tax bill of £591,000 each. While, just 2,000 people will be taxed on incomes of more than £2m, with an average tax bill of £1.98m each. Together, these highest paid individuals are expected to hand over income tax totalling £8.1bn.