The Income Tax (Indexation) Order 2008
S.I. 2008/673 · Made 10 March 2008
Income Tax
Made 10th March 2008
Laid before the House of Commons 11th March 2008
Coming into force 6th April 2008
The Treasury make the following Order in compliance with the duty imposed upon them by sections 257C(3) and 265(1A) of the Income and Corporation Taxes Act 1988f1.
Annotations to the whole text
Footnotes
- f1
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1988 c. 1. Sections 257 to 257F were substituted for section 257 by section 33 of the Finance Act 1988 (c. 39), and section 257C(3) was relevantly amended by paragraph 34(2) of Schedule 1 to the Income Tax Act 2007 (c. 3) and regulation 55(c) of S.I. 2005/3229. Section 265 was substituted by paragraph 8 of Schedule 3 to the Finance Act 1988, and subsection (1A) was inserted by section 56(2) of the Finance Act 1997 (c. 16).
Contents
- 1Citation, commencement and interpretation
- 2Indexation of personal allowance and married couple’s allowance for the year 2008-09
- 3Indexation of blind person’s allowance for the year 2008-09
- Signature
- Explanatory note
1Citation, commencement and interpretation
This Order may be cited as the Income Tax (Indexation) Order 2008 and shall come into force on 6th April 2008.
In this Order references to sections, without more, are references to sections of the Income and Corporation Taxes Act 1988.
2Indexation of personal allowance and married couple’s allowance for the year 2008-09
The amounts specified in the sections mentioned in subsection (1) of section 257Cf1 (indexation of allowances) are replaced for the year 2008-09 with the amounts specified in paragraphs (2) to (5) below.
The amount specified in section 256Bf2 (the minimum amount) is £2,540.
The amounts specified in section 257f3 (personal allowance) are—
in subsection (1) (personal allowance for those aged under 65) £5,435;
in subsection (2) (personal allowance for those aged 65 to 74) £7,850;
in subsection (3) (personal allowance for those aged 75 and over) £8,000;
in subsection (5) (adjusted net income limit) £21,800.
The amounts specified in section 257Af4 (married couple’s allowance: marriages before 5 December 2005) are—
in subsection (2) (married couple’s allowance: one spouse aged less than 75 and born before 6th April 1935) £6,535;
in subsection (3) (married couple’s allowance: one spouse aged 75 or over) £6,625;
in subsection (5) (adjusted net income limit) £21,800.
The amounts specified in section 257ABf5 (marriages and civil partnerships on or after 5 December 2005) are—
in subsection (2)(a) (married couple’s allowance: one spouse or civil partner aged 75 or over) £6,625;
in subsection (2)(b) (married couple’s allowance: one spouse or civil partner aged less than 75 and born before 6th April 1935) £6,535;
in subsection (4) (adjusted net income limit) £21,800.
3Indexation of blind person’s allowance for the year 2008-09
The amount specified in section 265(1)f1 (blind person’s allowance) is replaced for the year 2008-09 with the amount of £1,800.
Signature
Frank Roy
Dave Watts
Two of the Lords Commissioners of Her Majesty’s Treasury
10th March 2008
Explanatory note
(This note is not part of the Order)
This Order replaces the amounts specified in sections 256B, 257, 257A, 257AB and 265 of the Income and Corporation Taxes Act 1988 in accordance with the directions given in section 257C(1) of that Act.
This Order applies to individuals who are not resident in the United Kingdom and who satisfy the conditions of section 278(2) of the Income and Corporation Taxes Act 1988. The allowances, the minimum amount and the adjusted net income limits for 2008-09 which apply to individuals who are resident in the United Kingdom in the tax year 2008-09 are specified in the Income Tax (Indexation) (No. 2) Order 2007 (S.I. 2007/3481).
This Order does not impose any costs on business.