Here we look at measures said to be under consideration by the Chancellor and round up some of the submissions that will be choking his in-box…Income tax personal allowance freeze? Everyone has an income tax personal allowance – this tax year (2020/2021), it’s £12,500, meaning you can earn that much during the year before you start paying tax. Again, in previous years, this threshold has been increased (for example, it was £46,350 in 2018/19, with the personal allowance standing at £11,850). Before Covid-19 struck, the current government’s stated aim was to increase the personal allowance and the higher rate tax threshold, meaning a reduction in tax bills. The government has received sharp criticism for its perceived lack of support for large number of self-employed individuals who have not qualified for the Self-Employment Income Support Scheme (SEISS).

Source: Forbes February 15, 2021 17:48 UTC