Your updated 2022/23 tax tables and digital booklets.
These tax tables are up-to-date with everything announced in the Winter Economy Plan 2021, Autumn Budget 2021, the Scottish and Welsh Budgets 2021 and the Spring Statement 2022, giving you all the key numbers in one place.
Several key allowances, including the personal allowance and higher and additional tax thresholds, capital gains tax and pensions were frozen. In the current inflationary context, these freezes are tantamount to tax increases.
Key changes for the forthcoming 2022/23 tax year include:
- The rate of tax dividends above the dividend allowance will rise by 1.25 percentage points.
- National insurance rates will rise by 1.25 percentage points in 2022/23 as announced in the NHS/social care package.
- The primary threshold for Class 1 national insurance contributions (NICs) will increase from £9,980 a year to £12,570 a year from 6th July 2022, bringing it in line with the frozen personal allowance.
- For company directors, who are subject to special rules, the equivalent annual amount from July will be £11,908. From 2023/24, all employees will share the same £12,570 annual threshold. The maximum potential Class 1 employee NICs saving in 2022/23 is £269.
- For the self-employed, the lower profits limit will increase from £9,980 to £11,908 in 2022/23, rising to £12,750 in 2023/24. Class 2 NICs will not be payable if profits are below these limits. The maximum potential Class 4 NICs saving in 2022/23 is £208.
- The employment allowance will be increased to £5,000 from April 2022.
- VAT relief for the installation of energy-saving materials (ESMs) will be extended and there will be a time-limited zero rate for the installation of ESMs.
If you have any questions about the contents of your Tax Tables or how any aspects of your tax and financial planning may be affected in the forthcoming tax year, please get in touch with one of our tax team.