The approximate effect on income tax and NIC for 2009/10 will be
as follows:
However any apparent good news for higher rate tax payers will
be short lived. From April 2010:
- The tax rate for those earning more than £150,000 will be
50%
- The personal allowance will be tapered away for those earning
more than £100,000. That represents a cost of up to
£220 per month for those affected.
Pensions:
In 2009/10 a pensioner receiving the basic state pension
(category A or B) will see an increase in the weekly amount of
£4.55.
Tax credits:
A couple with two children, where one or both work at least 30
hours per week and the household income is less than £28,000,
should see an increase in working and child tax credits of around
£520 for 2009/10. The child benefit for two children also
increased as of January 2009 from £31.35 per week to
£33.20 per week.
