2 ms·
That's incorrect for the UK, though the gov page is confusingly worded. The basic rate is applied to £37,700 of income but you have to add the tax allowance of
by olddustytrail 3y ago
That's incorrect for the UK, though the gov page is confusingly worded. The basic rate is applied to £37,700 of income but you have to add the tax allowance of £12,570 onto that, so the 40% rate kicks in at £50,270.
Edit: plus it's not exactly the UK since Scotland has different tax rates and services but I think it's confusing enough already.
- infinityio 3y agoto summarise this - in practice, a person earning £50,270 under 1257L is paying 24% of their income as tax. Ever £1 they earn above this value is taxed at 40% up to £125k (although there are also some losses of benefits at £100k)