Originally posted by CDJ
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Spring Budget 2017
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Originally posted by Alan @ BroomeAffinity View PostWell that could have been much much worse. We live to fight another year.
Fingers crossed there's nothing hidden in the small print...Comment
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Originally posted by Maslins View PostFingers crossed there's nothing hidden in the small print...
March last year, APN-plagued contractors breathed a sigh of relief at first. Then someone dug out the infamous "2019 charge" from the small print.
The nastiest stuff is always in the small print.Comment
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Originally posted by Maslins View PostYes they'll mostly have a very modest tax increase, but nothing of any significance.Comment
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Originally posted by PartOfTheUnion View PostIf you were already drawing the upper limit of the 7.5% divi tax then your extra £3K will be taxed at 32.5%
E.g. somebody with £8k salary and £50k in dividends currently pays: 0% on the salary and first £3k of dividends (covered by personal allowance), 0% on next £5k of dividends (covered by dividend allowance), 7.5% on the next £35k of dividends and 32.5% on the last £7k.
With the reduction they will pay: 0% on the salary and first £3k of dividends (personal allowance), 0% on the next £2k of dividends, 7.5% on the next £38k of dividends and as before, 32.5% on the last £7k.Comment
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Originally posted by Alan @ BroomeAffinity View PostWell that could have been much much worse. We live to fight another year.Public Service Posting by the BBC - Bloggs Bulls**t Corp.
Officially CUK certified - Thick as f**k.Comment
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Originally posted by TheCyclingProgrammer View PostNo it won't, if all of your non-dividend income is at least £5k below the higher rate tax threshold, then you will be paying 7.5% on the extra £3k regardless of your total dividend income. The reduction in dividend allowance has no affect on the normal tax bands.
E.g. somebody with £8k salary and £50k in dividends currently pays: 0% on the salary and first £3k of dividends (covered by personal allowance), 0% on next £5k of dividends (covered by dividend allowance), 7.5% on the next £35k of dividends and 32.5% on the last £7k.
With the reduction they will pay: 0% on the salary and first £3k of dividends (personal allowance), 0% on the next £2k of dividends, 7.5% on the next £38k of dividends and as before, 32.5% on the last £7k.This default font is sooooooooooooo boring and so are short usernamesComment
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Originally posted by Alan @ BroomeAffinity View PostWell that could have been much much worse. We live to fight another year.Comment
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Originally posted by TheCyclingProgrammer View PostE.g. somebody with £8k salary and £50k in dividends currently pays: 0% on the salary and first £3k of dividends (covered by personal allowance), 0% on next £5k of dividends (covered by dividend allowance), 7.5% on the next £35k of dividends ...
That adds up to 51k ? higher rate starts at 43k. So 0% on 8k salary. 0% on 5k divis takes us to 13k. That means there is only 30k left at 7.5%.
Dividends still contribute to your taxable income insofar as the tax bands are concerned, right? **snipped**
Edit: Ignoring the duff example I snipped out...
8k salary + 3k divi = 0% for a total of 11k. Then 5k divi at 0% taking us to 16k.
Then for the rest of our divis, its requires 27k to take us to the higher rate threshold. So 27K at 7.5%.Last edited by SpontaneousOrder; 8 March 2017, 17:03.Comment
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