Pre Budget Speech _ Tax and Allowances

Pre Budget Speech - Tax and Allowances

• VAT cut from 17.5% to to 15 per cent from 17.5 per cent with effect 1 December (and back up again 01 Januraryu 2010)
• Temporary income tax personal allowance increased earlier this year, to be made permanent and marginally increased by £25
• Life Allowance on Pensions Fund size to remain at £1.8m until 2015/2016
• National Insurance Rates for both Employer and Employees increased by 0.5 per cent from April 2009
• New 45% Income Tax for incomes over £150,000
• People earning over £100,000 to have personal tax allowances reduced by £1 for every £2 above £100,000
• Personal allowances abolished totally for people with incomes over £140,000 from April 2010.
  

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