CW Accountancy
New shop front
in Frome

Frome Museum
A collection of
local history

Established in the heart of Frome town centre since 1983

2021/22
2020/21
  • Income tax applies to the amount of income after deduction of personal allowances.
  • Income is taxed in a specific order with savings and dividend income taxed last.
  • Dividend income and savings income falling within the dividend and savings allowances still form part of total income of an individual.
  • There is also a starting rate band (SRB) of £5,000 which is only applicable to savings income. The band is not available if the taxable amount of non-savings income exceeds the SRB.
  • The Scottish Parliament set the rates of income tax and the limits at which these rates apply for Scottish residents on non-savings and non-dividend income.
  • Income tax is devolved to Wales on non-savings and non-dividend income.

Income tax rates

Band of taxable income Rate Rate if dividends
£ % %
0 - 37,700 Basic rate 20 7.5
37,701 - 150,000 Higher rate 40 32.5
Over 150,000 Additional rate 45 38.1
Special rates for savings and dividend income falling into above bands of taxable income
Savings Allowance
Basic rate taxpayers 1,000 0
Higher rate taxpayers 500 0
Additional rate taxpayers Nil N/A
Dividend Allowance
for all taxpayers 2,000 0

  • Income tax applies to the amount of income after deduction of personal allowances.
  • Income is taxed in a specific order with savings and dividend income taxed last.
  • Dividend income and savings income falling within the dividend and savings allowances still form part of total income of an individual.
  • There is also a starting rate band (SRB) of £5,000 which is only applicable to savings income. The band is not available if the taxable amount of non-savings income exceeds the SRB.
  • The Scottish Parliament set the rates of income tax and the limits at which these rates apply for Scottish residents on non-savings and non-dividend income.
  • Income tax is devolved to Wales on non-savings and non-dividend income.

Income tax rates

Band of taxable income Rate Rate if dividends
£ % %
0 - 37,500 Basic rate 20 7.5
37,501 - 150,000 Higher rate 40 32.5
Over 150,000 Additional rate 45 38.1
Special rates for savings and dividend income falling into above bands of taxable income
Savings Allowance
Basic rate taxpayers 1,000 0
Higher rate taxpayers 500 0
Additional rate taxpayers Nil N/A
Dividend Allowance
for all taxpayers 2,000 0

Frome Museum

A collection of
local history

Cheap Street

Has a stream running
down the middle

Catherine Hill

A host of fabulous Independent shops

Gentle Street

Poldark was filmed
on location here

CW Accountancy

New shop front
in Frome