PRE BUDGET 2009 REPORT SUMMARY

The Chancellor, Alistair Darling, announced his Pre Budget Report on 9 December 2009. The key points coming out of the report were as follows.

Tax Rates and Thresholds

For the tax year 2010/11 all tax allowances and thresholds will be the same as for the current year.
For the tax year 2012/13, the higher rate threshold (the point at which someone starts to pay higher rate tax) will be frozen at the 2011-12 amount. The personal allowance will be increased and the basic rate limit will be reduced by the same amount.