COVID-19: support for businesses
Tax update for 2019-20
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The new thresholds and allowances will apply from 6 April 2019.
Personal Allowance
The amount you can earn before paying income tax via PAYE will increase to £12,500 (from £11,850).
Income tax rates
The higher rate tax threshold will increase from £46,350 to £50,000.
Class 1 national insurance threshold
The primary threshold (you pay no NI up to this amount but receive NI credits) will increase from £162 per week to £166.
Capital gains
The capital gains annual exemption will increase from £11,700 to £12,000.
Corporation Tax
The corporation tax rate stays at 19%.
Minimum wage
The rates will change as follows:
Year 25 and over 21 to 24 18 to 20 Under 18 Apprentice
April 2018 (current) £7.83 £7.38 £5.90 £4.20 £3.70
April 2019 £8.21 £7.70 £6.15 £4.35 £3.90
Automatic enrolment pension contributions
These will increase to 3% for employer contributions and 5% for employee contributions.
Dividend allowance
The tax-free allowance remains at £2,000.
The dividend tax bands are:
0% below £2,000 (above the £12,500 personal allowance)
7.5% basic rate
32.5% higher rate
38.1% additional rate
About the author
Ingrid Niang est expert-comptable britannique avec seize ans d’expérience variée en Angleterre. De nationalité française, elle a créé son cabinet FRAccountants en 2009 et travaille tout particulièrement avec des entrepreneurs, chefs d’entreprise et consultants français ou francophones ayant une activité commerciale au Royaume-Uni. Elle leur apporte un suivi et conseil sur mesure leur assurant de se conformer aux exigences comptables et fiscales britanniques.
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