Queen’s Speech 2015
Tax lock commitment: National Insurance Contributions Bill/Finance Bill
The purpose of the legislation is to
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ensure there are no rises in income tax rates, VAT rates or National Insurance contributions (NICs) rates for individuals, employees and employers
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ensure that the NICs upper earnings limit (the point at which the Employee NICs rate reduces to 2%) is no higher than the income tax higher rate threshold (the point at which income tax increases to 40%)
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ensure there will be no extension of the scope of VAT
The government is making changes to how interest from savings is taxed.
From April 2015, fewer people will have to pay tax on interest they receive from bank and building society accounts.
This is expected to help people on low incomes. This briefing explains who the new 0% ‘starting rate’ will affect and how it will work.
Registration opens for new married couples tax break
The government has today opened registration for the new Marriage Allowance, a tax break for married couples, helping them save up to £212 a year.
The Allowance means a spouse or civil partner who doesn’t pay tax, or doesn’t pay tax above the basic rate of income tax, can transfer up to £1,060 of their personal tax-free allowance to a spouse or civil partner.
