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Income tax allowances

	2015-16	Change	2014-15
	£ a year
Personal Allowance
those born after 5 April 1948	10,000	10,600	600
those born between 6 April 1938 and 5 April 1948	10,500	10,600	100
those born before 6 April 1938	10,660	10,660	–
Income limit for personal allowance (*1)	100,000	100,000	–
Income limit for personal allowances (born before 6 April 1948) (*2)	27,000	27,700	700
Married couple’s allowance (*3)
maximum amount (*4)	8,165	8,355	190
minimum amount (*5)	3,140	3,220	80
Blind person’s allowance	2,230	2,290	60
Transferable Tax Allowance for married couples and civil partners (*6)	–	1,060	–

*1 The personal allowance reduces where the individual’s income is above this limit by £1 for every £2 above the limit. This applies regardless of the individual’s date of birth.

*2 This allowance reduces where the individual’s income is above the income limit by £1 for every £2 above the income limit until it reaches the level of the personal allowance for someone born after 5 April 1948.

*3 Available to people born before 6 April 1935. Tax relief for this allowance is restricted to 10 per cent.

*4 This allowance is reduced when the individual’s income is above the income limit. This is at a rate of £1 for every £2 above the income limit until it reaches the minimum amount. Any reduction in the married couple’s allowance applies after any reduction to the individual’s personal allowance.

*5 This is also the maximum relief for maintenance payments where at least one of the parties is born before 6 April 1935.

*6 Available to spouses/ civil partners born after 5 April 1935. This allowance is 10% of the personal allowance for those born after 5 April 1938. It allows a spouse or civil partner who is not liable to income tax above the basic rate to transfer this amount of their personal allowance to their spouse/ civil partner. The recipient must not be liable to tax above the basic rate. The recipient is eligible to a tax reduction of 20% of the transferred amount.

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