Osborne set to increase income threshold to £8,045
Measures announced in the Budget will mean 25 million taxpayers will be £320 a year better off
THE INCOME TAX threshold is likely to be increased by £45 a year in today’s Budget in a move that will affect an estimated 25 million people.
It has been widely reported that the threshold will be increased to £8,045 in April 2012, on top of the £1,000 increase next month, which was announced in the last Budget.
The Daily Mail has estimated that 25 million workers see a £320 tax cut, and everyone on less than £115,000 will benefit to some extent. The 2 million people paying 40% income tax will be £45 a year better off.
The government has committed to raising the personal allowance threshold to £10,000 by the end of this Parliament.