We are sharing this update from ACCA, our professional body, for the interest of clients and contacts. The content is (c) ACCA

The income tax additional rate threshold will reduce from £150,000 to £125,140 from April 2023. Reducing these thresholds will cost an additional tax of £1,243 for an additional rate taxpayer.

Personal tax thresholds – ie personal allowance, basic and higher rate thresholds for income tax – are maintained until April 2028 at a current level of £12,570 and £50,270.

Basic rate of income tax will be maintained at 20%. This was previously announced to be reduced to 19% which will not go ahead from 2023.