Here are some of today's changes at a glance...
- All personal tax allowances have risen, with the under 65s allowance rising by £210 a year from £5,225 to £5,435.
- The older age brackets will see the bigger rises; the allowance for the 65-74 age bracket has increased from £7,550 to £9,030, and from £7,690 to £9,180 for the 75 years plus category.
- Winter fuel allowance will go up from £200 to £250 for the over 60s and from £300 to £400 for the over-80s.
- Married Couple’s allowance has increased by between £250 and £260; from £6,285 to £6,535 for the under 75s (born before 6 April 1935) and from £6,365 to £6,625 for those over 75-years-old.
- As announced in the pre–budget report, capital gains tax will be set at 18%. From April this year the CGT annual exempt amount will be increased to £9,600 in line with statutory indexation.
- By 2010 those on incapacity benefit will be expected to attend work capacity programmes
- All elements of the Working Tax Credit, except for childcare, will rise in line with indexation.
- Child benefit will rise to £20 a week for the first child from April 2009, a year earlier than planned. From the same date the child element of the child tax credit for families on low and middle incomes will increase by £50 a year above inflation.
Inheritance tax thresholds remain the same as Darling’s pre–budget announcements. If an individual’s inheritance before tax (£300,000) is not fully used then the amount can be transferred to their spouse.
That's not all! For the rest of our Budget 2008 coverage, click here