For Business & Individuals

Tax Facts

Find out everything you need to know about personal and business tax rates and allowances for the current tax year

Our edition of Tax Facts is now available for 2024/25 where you will find details of all the latest business and personal tax rates and allowances.

Personal Tax

Date Event
31 July 2024 Second payment on account for 2023/24
5 October 2024 Deadline for notification of chargeability 2023/24
31 October 2024 File paper return for 2023/24 to HMRC
30 December 2024 File return for 2023/24 for a tax underpayment of less than £3,000 to be collected via PAYE during 2025/26
31 January 2025 File electronic return for 2023/24
Balancing payment for 2023/24
First payment on account for 2024/25
  2024/25 2023/24
Maximum tax allowable contributions* £60,000** £60,000**
Maximum tax allowable contributions not restricted to earnings £3,600 £3,600

Special rules attribute value to defined benefit (final salary) and other pension arrangements.
* Personal contributions are also capped at relevant earnings if higher than the minimum contribution.
Annual allowance will still be increased by unused relief for three previous tax years.
**The standard annual allowance will be reduced by £1 for every £2 of ‘adjusted income’ (which includes employer pension contributions) above £260,000 to a minimum of £10,000 but only if an individual also has ‘threshold income’ (broadly, an individual’s taxable income) of over £200,000.

A charge is applied to any excess pension contributions over and above the total allowance. The charge is levied at the individual’s marginal rate.

The annual allowance is reduced to £10,000  if more than 25% pension commencement lump sum has been drawn from a defined contribution pot, flexible drawdown has commenced or the income limit for capped drawdown has been exceeded.

Annual exempt amounts 2024/25 2023/24
Individuals and personal representatives £3,000 £6,000
Trusts generally £1,500 £3,000
Rates of tax 2024/25 2023/24
Individuals – basic rate** 10% 10%
Individuals – higher or additional rate*** 20% 20%
Business asset disposal relief 10% 10%
Business asset disposal relief lifetime limit on gains £1,000,000 £1,000,000
Investors’ relief 10% 10%
Investors’ relief lifetime limit on gains £10,000,000 £10,000,000
Companies (corporation tax rates)* 25% 25%
Trusts and personal representatives*** 20% 20%

* Where profits are less than £250,000 different CT rates will apply (see corporation tax section for further details).

** 8% surcharge for gains on residential property and carried interest.

*** 4% surcharge (8% for 2023/24) for gains on residential property and 8% surcharge for gains on carried interest.

Qualifying criteria for business asset disposal relief and investors’ relief

Description Business asset disposal relief Investors’ relief
Acquisition of shares At any point from anyone Subscription for new shares after 16 March 2016
Type of shares Any Ordinary
Holding period 24 months to date of disposal 36 months to date of disposal
Minimum shareholding 5% of ordinary share capital, voting rights and entitlement to proceeds on disposal* unless through EMI N/A
Company requirement Trading company or holding company of a trading group Unlisted trading company or unlisted holding company of a trading group
Employment condition Employees or officer for at least 24 months prior to disposal Investor and its associates must not be an employee or officer (some exceptions apply)

* An alternative condition of beneficial entitlement to 5% of profits available for distribution and 5% of assets available on a winding up throughout the entire qualifying period can be met instead of the 5% entitlement to proceeds on disposal condition.

Rates 2024/25 2023/24
0% Up to £325,000 Up to £325,000
40% (death rate)* Over £325,000 Over £325,000
20% (lifetime rate) Over £325,000 Over £325,000
Residence nil-rate band** Up to £175,000 Up to £175,000

Any unused percentage of the nil-rate band from the estate of a previously deceased spouse can be used on the death of the second spouse.
* A reduced rate of 36% applies where the deceased leaves at least 10% of their net estate to charity.
**The residence nil-rate band applies for a home passed to a direct descendent but is restricted where the estate is worth more than £2 million. The residence nil-rate band will reduce to zero for estates of £2.35 million or more.

Major exemptions  
Gifts to UK domiciled spouse and civil partner Unlimited
Gifts to non-UK domiciled spouse £325,000
Gifts to charities Unlimited
Annual gifts* £3,000
Small gifts to different individuals £250
Gift on marriage
  • By parent 
  • By remoter ancestor
  • By other person


Regular gifts out of surplus income Unlimited
Most transfers between individuals, if donor survives for 7 years  

*Unused annual allowance can be carried forward for one year only.

Taper relief

Taper relief is given in respect of tax due on chargeable gifts made between 3 and 7 years before death.

Years between gift and death Tax rate
Less than 3 40%
3 to 4 32%
4 to 5 24%
5 to 6 16%
6 to 7 8%
7 or more 0%
Agricultural property relief*  
Vacant possession available within 24 months 100%
Landlords’ interest in let farmland 50%
– for new tenancies let after 31 August 1995 100%


Business property relief**  
Unincorporated business 100%
Unquoted shares in a trading company 100%
Assets used in controlled business 50%

* The property must be either; owned and occupied for agricultural purposes by the same person for at least two years prior to disposal, or, owned for at least seven years prior to disposal where occupied by someone else for agricultural purposes.
**Assets must be held for at least two years to qualify.

Enterprise investment scheme (EIS) 2024/25 2023/24
Maximum investment for income tax relief in qualifying ‘knowledge intensive companies’ £2,000,000 £2,000,000
Maximum investment for income tax relief in qualifying non-knowledge intensive companies £1,000,000 £1,000,000
Rate of income tax relief 30% 30%
Seed enterprise investment scheme (SEIS) 2024/25 2023/24
Maximum investment for income tax relief £100,000 £200,000
Rate of income tax relief 50% 50%
Venture capital trusts (VCT)                                                                                    2024/25 2023/24
Maximum investment for income tax relief £200,000 £200,000
Rate of income tax relief 30% 30%

Business Tax

Indirect Tax

Download Tax Facts 2024/25

Download the 2024/2025 tax facts PDF

Proposed changes 2025/26

  • Furnished holiday lettings (FHL) tax regime is to be abolished with effect from April 2025
  • The remittance basis for non-UK doms will be abolished and replaced with a residency based system from April 2025. Under the new regime non doms will not pay UK tax on foreign earnings in the first four tax years of residence, provided they have been non-tax resident for the last 10 years. Transition rates will apply to existing non-UK doms claiming the remittance basis.