Levels of Personal Allowance

The amount of your Personal Allowance depends on:

·         your age

·         your total income in the tax year

Total income means everything you receive from all taxable sources. That means you need to include things like pensions and interest on your savings in a building society before the tax has been taken off.

Don't forget if you are married/in a civil partnership, a basic rate taxpayer and your partner does not earn enough to pay tax or earn at all, they can transfer 10% of their personal allwances to save you a further £237 in tax

There are three levels of Personal Allowance

Personal Allowance                                    2018-19 tax year                             Income limit


Basic                                                                 £11850                                             Basic rate £11851 to £46350                                    20%
     Higher rate £46351 to £150000                                 40%
      Additional rate over £150000                                   45%