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INCOME TAX RATES

Taxable Income	Rate	Tax on Band	Cumulative tax to top of band	2000-2001 Taxable Income	Rate	Tax on Band	Cumulative tax to top of band
First £1,5000	10%	£150	£150	First £1,520	10%	£152	£152
Next £26,500	23%	£6,095	£6,245	Next £26,880	22%	£5,914	£6,066
Over £28,000	40%			Over £28,401	40%

INCOME TAX ALLOWANCES

Allowance	1999-2000	2000-2001
Personal Allowance Personal Allowance (Age 65-74)* Personal Allowance (Age 75 or over)*	£4,335 £5,720 £5,980	£4,385 £5,790 £6,050
Married Couple’s Allowance Married Couple’s Allowance (Age 65 before 6th April 2000)* Married Couple’s Allowance (Age 75 or over)*	£1,970^ £5,125^ £5,195^	Nil £5,185¨ £5,225¨
Additional Personal Allowance	£1,970^	Nil
Widow’s Bereavement Allowance (for bereavement occurring before 6th April 2000)	£1,970¨	£2,000¨
Blind Person’s Allowance	£1,380	£1,400

* If income exceeds £16,800 for 1999-2000 or £17,000 for 2000-2001 these age related allowances are
reduced.

^ Relief restricted to tax rate of 10%.

CAPITAL GAINS TAX

1999-2000 Gains	Rate	2000-2001 Gains	Rate
Up to £7,100	Nil	Up to £7,200	Nil
Over £7,100	Gains are charged at 20% where the gains when added to total income are below the basic rate limit and 40% in excess of that limit.	Over £7,200	Gains are charged at 20% where the gains when added to total income are below the basic rate limit and 40% in excess of that limit.

ALLOWABLE PENSION CONTRIBUTIONS

Age at beginning of year	1999-2000 & 2000-2001
Age at beginning of year	Retirement Annuity Plan Percentage of Net Relevant Earnings	Personal Pension Scheme Percentage of Net Relevant Earnings*
35 or less	17.5%	17.5%
36-45	17.5%	20.0%
46-50	17.5%	25.0%
51-55	20.0%	30.0%
56-60	22.5%	35.0%
61 or more	27.5%	40.0%

* The rates for Personal Pension Plans are subject to a maximum net relevant earnings level of £90,600 in
1999-2000, and £91,800 in 2000-2001.

NATIONAL INSURANCE CONTRIBUTIONS 2000-2001 - EMPLOYER’S

			Weekly	Monthly	Yearly
Lower earnings threshold No employer’s contribution payable if earnings are less than lower earnings threshold.			£84	£365	£4,385
Weekly Contributions	Contracted In	Contracted out
If earnings exceed £84	12.2% on all earnings above £84.	9.2%* on earnings between £84 and £535; 12.2% on earnings above £535.

* The contracted out rate for "Money Purchase" Pension Schemes is 2.4% higher than the above rates
which refer to Salary Related Pension Schemes.

NATIONAL INSURANCE CONTRIBUTIONS 2000-2001 - EMPLOYEE’S

	Weekly	Monthly	Yearly
Lower Earnings Limit (LEL)	£67	£291	£3,484
Earnings Threshold (EET)	£76	£329	£3,952
Upper Earnings Limit (UEL)	£535	£2,310	£27,820

* There is a UEL for employees only, there is no UEL for the employer.

National Insurance Contributions are not paid if earnings are less than the EET.

Earnings	Contracted in	Contracted out
£76-£535	10% on earnings between £76 and £535.	8.4% on earnings between £76 and £535

A reduced rate of contribution me be payable by widows and some married women.

NATIONAL INSURANCE CONTRIBUTIONS 2000-2001 - OTHER

	From April 2000
CLASS 2 (self-employed only) Earnings over £3,825 per annum	£2.00 per week
CLASS 3 (voluntary)	£6.55 per week
CLASS 4 (self-employed on profits) Profits between £4,385 and £27,820 per annum 7%

STATUTORY SICK PAY

1999-2000

Average Weekly Earnings

Weekly Rate of

Statutory Sick Pay

2000-2001

Average Weekly Earnings

Weekly Rate of

Statutory Sick Pay

Up to £65.99

£Nil

Up to £66.99

£Nil

£66.00+

£59.55

£67.00+

£60.20

STATUTORY MATERNITY PAY

	1999-2000	2000-2001
Higher Weekly Rate	90% of employee’s normal weekly earnings.	90% of employee’s normal weekly earnings.
Lower Weekly Rate	£59.55	£60.20

Payable for a maximum of 18 weeks.

INHERITANCE TAX

Death Transfers from 6/4/99 to 5/4/00

Gross Cumulative Transfer

Rate

Death Transfers from 6/4/00

Gross Cumulative Transfer

Rate

Up to £231,000

Nil%

Up to £234,000

Nil%

£231,001+

40%

£234,001+

40%

No Inheritance Tax is generally chargeable on lifetime transfers. Certain gifts, including gifts into and out
of some trusts, are taxed at half death rates. Gifts within 7 years of death will be liable to tax at rates
applicable at death - subject to tapered relief as set out below:

Years Between Gift and Death	Percentage Chargeable
0-3	100%
3-4	80%
4-5	60%
5-6	40%
6-7	20%

CORPORATION TAX

	1/4/99 to 31/3/00	1/4/00 to 31/3/01
Tax Rate	30%	30%
Starting Rate	-	10% to £10,000
Immediate Profits	-	£10,001 to £50,000
- Reduction Factor	-	1/40th
Small Company Rate	20% to £300,000	20% £50,001 to £300,000
Intermediate Profits	£300,001 - £1,500,000	£300,001 to £1,500,000
- Reduction Factor	1/40th	1/40th

VALUE ADDED TAX

The standard rate of VAT is 17½%. The VAT fraction to be used when calculating
the tax element of a VAT inclusive price is 7/47.

Turnover Limit for Registration

From 1st April 1999 - £51,000

From 1st April 2000 - £52,000

VAT CAR FUEL SCALES

VAT DUE - QUARTERLY RETURNS 1999 - 2000
Cylinder Capacity	Diesel Scale Charge	Diesel VAT due per vehicle	Non-Diesel Fuel Scale Charge	Non-Diesel Fuel VAT due per vehicle
Up to 1,400cc	£196	£29.19	£212	£31.57
1,401 - 2,000cc	£196	£29.19	£268	£39.91
over 2,000 cc	£248	£36.93	£396	£58.97

VAT DUE - QUARTERLY RETURNS 2000 - 2001
Cylinder Capacity	Diese l Scale Charge	Diesel VAT due per vehicle	Non-Diesel Fuel Scale Charge	Non-Diesel Fuel VAT due per vehicle
Up to 1,400cc	£232	£34.55	£256	£38.12
1,401 - 2,000cc	£232	£34.55	£325	£48.40
over 2,000 cc	£295	£43.93	£478	£71.19

CAR BENEFITS

The benefit is based on percentage of the list price of car when new, including accessories.
The list price is subject to a maximum of £80,000
An employee’s capital contribution of up to £5,000 is treated as reducing the list price.
The benefit is reduced where car is over 4 years old at end of year of assessment.
The benefit is reduced where business mileage exceeds 2,499 and 17,999 miles per annum.
There are special rules for cars over 15 years old valued at more than £15,000.

	Percentage of List Price Assessable
	1999-2000		2000-2001
Benefit Assessed	Under 4 years	Over 4 years	Under 4 years	Over 4 years
BUSINESS MILEAGE
Up to 2,499 miles per annum	35.00%	26.25%	35.00%	26.25%
Between 2,500 and 17,999 miles per annum	25.00%	18.75%	25.00%	18.75%
Over 17,999 miles per annum	15.00%	11.25%	15.00%	11.25%

CAR BENEFITS

	1999-2000		2000-2001
Car Fuel Scales	Diesel	Non-Diesel Fuel	Diesel	Non-Diesel Fuel
1,400cc or less	£1,540	£1,210	£2,170	£1,700
1,401cc to 2,000cc	£1,540	£1,540	£2,170	£2,170
over 2,000cc	£2,270	£2,270	£3,200	£3,200

These above benefits are only applicable to employees earning over £8,500 and directors.

REVENUE APPROVED MILEAGE ALLOWANCES

Mileage allowances paid to employees who use their own cars for business purposes are not taxable if
the allowance paid is within the limits set out below:

1999-2000	Rate of Allowance		2000-2001	Rate of Allowance
Engine Capacity	First 4,000 miles	Excess over 4,000 miles	Engine Capacity	First 4,000 miles	Excess over 4,000 miles
Up to 1,000cc	28p	17p	Up to 1,000cc	28p	17p
1,001 to 1,500cc	35p	20p	1,001 to 1,500cc	35p	20p
1,501 to 2,000cc	45p	25p	1,501 to 2,000cc	45p	25p
Over 2,000cc	63p	36p	Over 2,000cc	63p	36p

Income Tax	Capital Gains Tax	Pension Contributions	National Insurance
Inheritance Tax	Corporation Tax	VAT	Car Benefits