Mini Autumn Budget 2022 | XNM Accountancy

Basic Rate Tax Band Reduction

Income tax has been cut from 20% to 19% from the 6th April 2023. With the current tax brackets in place, this will affect annual personal earnings between £12,571 to £50,270.

This Has Now Been Abandoned

Additional Rate Tax Band Abolished

The higher rate of income tax will be removed completely from the 6th of April 2023. In favour of going for a single higher income tax rate of 40% for any income over £50,270 based on the current tax brackets.

This Has Now Been Abandoned

Health And Social Care Levy Abolished

The initial increase of 1.25% of national insurance that was introduced on the 6th of April 2022, will now be reversed from the 6th of November 2022.

Stamp Duty Nil Rate Threshold Increase

The level at which house-buyers begin to pay stamp duty has doubled from £125,000 to £250,000

First Time Buyers Stamp Duty Relief Increased

First time buyers will now no longer pay stamp duty on their first £425,000 increasing from £300,000.

Planned Increase To Rate Abolished

Corporation tax rates will no longer be increasing to 25% for profits exceeding £50,000, instead they will be staying at 19% for each and every limited company.

This Has Now Been Abandoned

Overseas Visitors Planned VAT Free Shopping

Currently there is a plan to introduce VAT-free shopping for overseas visitors. There is no official date but the idea is to modernise the UK.

This Has Now Been Abandoned

Planned AIA Reduction Abolished

The planned Annual Investment Allowance (AIA) reduction to £200,000 has been scrapped. The current allowance of £1,000,000 will remain in place.

Mini Autumn Budget - September 2022