Pre-Budget Report 2009 Introduction Personal tax Tax rates and allowances Furnished holiday lettings Pensions and Credits State Pension Rates of tax credit National Insurance Contributions Rates and limits: 2010/11 Rates and limits: 2011/12 Employees Bankers' bonuses Electric cars and vans Cars up to 2012 Car fuel Works canteen Savings Pension contributions Capital Gains Tax Annual exemption and rate Inheritance Tax Rates and threshold Stamp Duty/Stamp Duty Land Tax Extended holiday ends Corporation Tax Rate of tax Business Tax Bank payroll tax Capital allowances Research and development Time to pay Empty property rates relief Value Added Tax Standard rate Flat rate Other Measures Equitable liability Offshore disclosure opportunity Public sector pay and pensions Tax avoidance

Tax rates and allowances The tax rates for 2010/11 have already been announced in the April 2009 Budget. The main points are: 50% tax rate on income above £150,000 Tax-free personal allowances restricted if income is over £100,000, reduced to nil by income of £112,950 Basic rate 20% up to taxable income of £37,400 Higher rate 40% between £37,400 and £150,000 Different rates (10%, 32.5% and 42.5%) still applicable to dividend income Normally the tax-free allowances and the threshold for higher rate tax are increased by inflation. As the Retail Prices Index fell in the year to September 2009, these figures have all been frozen at their 2009/10 level. The freezing of the allowance is therefore officially "a real terms benefit", according to the Government. The PBR included the long-term announcement that the threshold for higher rate tax will be frozen in 2012/13 at the same levels as in 2011/12. If average earnings increase in the meantime, more people will be caught by higher rate tax, and may be brought within self-assessment as a result.