Front cover 71mm x 145mm Tax Tables 2026/27
INCOME TAX Main personal allowances and reliefs 26/27 25/26 Personal allowance* £12,570 £12,570 Marriage/civil partners’ transferable allowance £1,260 £1,260 Blind person’s allowance TBA £3,130 Rent-a-room relief £7,500 £7,500 Property allowance and trading allowance (each) £1,000 £1,000 *Personal allowance reduced by £1 for every £2 of adjusted net income over £100,000 UK taxpayers excluding Scottish taxpayers’ non-dividend, non-savings income 20% basic rate on taxable income up to £37,700 £37,700 40% higher rate on next slice of income over £37,700 £37,700 45% additional rate on income over £125,140 £125,140 Scottish taxpayers – non-dividend, non-savings income 19% starter rate on taxable income up to TBA £2,827 20% basic rate on next slice up to TBA £14,921 21% intermediate rate on next slice up to TBA £31,092 42% higher rate on next slice up to TBA £62,430 45% advanced rate on next slice up to TBA £125,140 48% top rate on income over TBA £125,140 The Scottish Budget will be published on 13 January 2026 All UK taxpayers 26/27 25/26 Starting rate at 0% on band of savings income up to** £5,000 £5,000 Personal savings allowance at 0%: Basic rate £1,000 £1,000 Higher rate £500 £500 Additional rate £0 £0 Dividend allowance at 0%: All individuals £500 £500 Tax rates on dividend income: Basic rate 10.75% 8.75% Higher rate 35.75% 33.75% Additional rate 39.35% 39.35% Trusts: I ncome exemption generally £500 £500 Rate applicable to trusts: Dividends 39.35% 39.35% Other income 45% 45% **Not available if taxable non-savings income exceeds the starting rate band High Income Child Benefit Charge: 1% of benefit per £200 of adjusted net income between £60,000 and £80,000 REGISTERED PENSIONS 26/27 25/26 Lump sum and death benefit allowance £1,073,100 £1,073,100 Lump sum allowance £268,275 £268,275 Money purchase annual allowance £10,000 £10,000 Annual allowance* £60,000 £60,000 Annual allowance charge on excess is at applicable tax rate(s) on earnings *Reduced by £1 for every £2 of adjusted income over £260,000 to a minimum of £10,000, subject to threshold income being over £200,000
STATE PENSIONS Annual Weekly New state pension £12,547.60 £241.30 Basic state pension – single person* £9,614.80 £184.90 Basic state pension – spouse/civil partner* £5,759.00 £110.75 *State pension age reached before 6/4/16 TAX INCENTIVISED INVESTMENTS Total Individual Savings Account (ISA) 26/27 25/26 limit, excluding Junior ISAs (JISAs) £20,000 £20,000 Lifetime ISA £4,000 £4,000 JISA/Child Trust Fund £9,000 £9,000 Venture Capital Trust (VCT) up to £200,000 20% 30% Enterprise Investment Scheme (EIS) at 30%* £2,000,000 £2,000,000 EIS eligible for CGT deferral relief No limit No limit Seed EIS (SEIS) at 50% £200,000 £200,000 SEIS CGT reinvestment relief 50% 50% *Above £1,000,000 investment must be in knowledge-intensive companies NATIONAL INSURANCE CONTRIBUTIONS Class 1 Employee Employer NICs rate 8% 15% No NICs for employees generally on the first £242 pw £96 pw No NICs for younger employees* on the first £242 pw £967 pw NICs rate charged up to £967 pw No limit 2% NICs on earnings over £967 pw N/A *No employer NICs on the first £967 pw for employees generally under 21 years, apprentices under 25 years and veterans in first 12 months of civilian employment. No employer NICs on the first £481 pw for employees at freeports and investment zones in the first 36 months of employment Employment allowance £10,500 Per business – not available if sole employee is a director Class 1A Employer On most employees’ and directors’ taxable benefits 15% Class 2 Self-employed Flat rate per week (voluntary) £3.65 (£189.80 pa) Small profits threshold £7,105 Class 4 Self-employed On annual profits of £12,570 to £50,270: 6% Over £50,270: 2% Class 3 Voluntary flat rate per week £18.40 (£956.80 pa) CAPITAL GAINS TAX 26/27 25/26 Annual exemption: Individuals, estates, etc £3,000 £3,000 Trusts generally £1,500 £1,500 Below UK higher rate band Tax rate 18% 18% Within UK higher and additional rate bands Tax rate 24% 24% Carried interest (all tax bands) Tax rate N/A 32% Trusts and estates Tax rate 24% 24% Business Asset Disposal Relief 18% (14% 25/26) on lifetime limit of £1,000,000 for trading businesses and companies (minimum 5% participation) held for at least 2 years
INHERITANCE TAX 26/27 and 25/26 Nil-rate band*/residence nil-rate band*† £325,000/£175,000 Rate of tax on excess/if at least 10% net estate left to charity 40%/36% Lifetime transfers to and from certain trusts 20% Non-long-term resident spouse/civil partner exemption £325,000 *Up to 100% of the unused proportion can be claimed on the surviving spouse’s/ civil partner’s death †Estates over £2,000,000: reduced by 50% of the excess over £2,000,000 Reliefs Businesses, unlisted shares, some farms AIM Certain other shares assets 26/27 100% up to a maximum of £1,000,000, with 50% thereafter* 50% 50% 25/26 100% 100% 50% *Transferable between spouses and civil partners Annual exempt gifts of: £3,000 per donor £250 per donee Tapered tax charge on lifetime gifts between 3 and 7 years of death Years 0–3 full 40% rate, then 8% less for each year until 0% at 7 or more years. STAMP DUTIES AND PROPERTY TRANSACTION TAXES Stamp Duty and SDRT*: Stocks and marketable securities 0.5% *0% SDRT for transfers of newly UK listed securities from 27 November 2025 Additional residential and all corporate residential properties £40,000 or more – add 5% to SDLT rates, 8% to LBTT rates and 5% tomost LTT rates England & N Ireland – Stamp Duty Land Tax (SDLT) on slices of value Residential property % Commercial property† % Up to £125,000 0 Up to £150,000 0 £125,001–£250,000 2 £150,001–£250,000 2 £250,001–£925,000 5 Over £250,000 5 £925,001–£1,500,000 10 Over £1,500,000 12 First time buyers: 0% on first £300,000 for properties up to £500,000 Non-resident purchasers: 2% surcharge on properties £40,000 or more Residential properties bought by companies etc over £500,000: 17% of total consideration, subject to certain exemptions Scotland – Land and Buildings Transaction Tax (LBTT) on slices of value Residential property % Commercial property† % Up to £145,000 0 Up to £150,000 0 £145,001–£250,000 2 £150,001–£250,000 1 £250,001–£325,000 5 Over £250,000 5 £325,001–£750,000 10 Over £750,000 12 First time buyers: 0% on the first £175,000 Wales – Land Transaction Tax (LTT) on slices of value Residential property % Commercial property† % Up to £225,000 0 Up to £225,000 0 £225,001–£400,000 6 £225,001–£250,000 1 £400,001–£750,000 7.5 £250,001–£1,000,000 5 £750,001–£1,500,000 10 Over £1,000,000 6 Over £1,500,000 12 †0% for freeport and investment zone qualifying property CORPORATION TAX Year to 31/3/27 and 31/3/26 Profits Effective rate Diverted profits £0–£50,000 19.0% £50,001–£250,000 26.5% 31% £250,001 and above 25.0% Loans to participators 33.75% }
© Copyright 26 November 2025 Subject to relevant legislation For information only Always seek professional advice before acting VALUE ADDED TAX Standard rate 20% Domestic fuel 5% Installation of energy saving materials (except Northern Ireland) 0% Registration level £90,000 Deregistration £88,000 Flat rate scheme turnover limit £150,000 Cash and annual accounting schemes turnover limit £1,350,000 CAR BENEFITS Taxable amount based on original list price and CO2 emissions in g/km. Zero emission cars 4% Petrol and diesel hybrids with CO2 emissions 1–50g/km Range – electric-only miles < 30 30–39 40–69 70–129 130+ 16% 14% 10% 7% 4% All non-diesel cars over 50g/km CO2 51–54 55 & over 17% 18% * –37% *Increased by 1% increments up to the maximum 37% Diesels not meeting RDE2: add 4% to non-diesel rates, up to 37% Fuel benefit – taxable amount for private use 26/27 25/26 CO2 % charge used for car benefit multiplied by TBA £28,200 VANS – FOR PRIVATE USE 26/27 25/26 Zero emission: chargeable amount Nil Nil Other vans: chargeable amount TBA £4,020 Fuel: chargeable amount TBA £769 TAX-FREEBUSINESSMILEAGEALLOWANCE–OWNVEHICLE Cars and vans first 10,000 miles 45p per mile then 25p per mile Qualifying passenger 5p per mile Motorcycles 24p per mile Bicycles 20p per mile MAIN CAPITAL AND OTHER ALLOWANCES Plant & machinery (P&M) 100% annual investment allowance (1st year) £1,000,000 P&M allowance for companies (1st year)* 100% Special rate P&M allowance for companies (1st year)* 50% P&M allowance for all businesses (1st year) from 1 January 2026* 40% P&M** 14% Patent rights and know-how** 25% Special rate P&M e.g. long-life assets and integral features of buildings** 6% Structures and buildings (straight line)† 3% Motor cars CO2 emissions of g/km 0* 1–50 Over 50 Capital allowance 100% first year 18% pa** 6% pa** *New and unused only **Annual reducing balance †10% for freeports and investment zones Research and Development (R&D) Capital expenditure 100% R&D merged scheme 20% R&D intensive SME payable credit 14.5% R&D intensive SME intensity ratio 30%
It is important to take professional advice before making any decision relating to your personal finances. Information within this document is based on our current understanding and can be subject to change without notice and the accuracy and completeness of the information cannot be guaranteed. It does not provide individual tailored investment advice and is for guidance only. Some rules may vary in different parts of the UK. We cannot assume legal liability for any errors or omissions it might contain. Levels and bases of, and reliefs from, taxation are those currently applying or proposed and are subject to change; their value depends on the individual circumstances of the investor. No part of this document may be reproduced in any manner without prior permission. Seven Investment Management LLP is authorised and regulated by the Financial Conduct Authority. Member of the London Stock Exchange. Registered office: 1 Angel Court, London EC2R 7HJ. Registered in England and Wales number OC378740. 11.25
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