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SNRB for the tax year 2022-23

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA TX-UK Exams › SNRB for the tax year 2022-23

  • This topic has 5 replies, 2 voices, and was last updated 1 year ago by JillyB.
Viewing 6 posts - 1 through 6 (of 6 total)
  • Author
    Posts
  • October 25, 2023 at 7:07 am #693950
    Anonymous
    Inactive
    • Topics: 53
    • Replies: 46
    • ☆☆

    Hi,
    “For basic rate taxpayers the savings income nil rate band for the tax year 2022-23 is 1000 ,for higher rate taxpayers is 500.additiional rate taxpayers do not benefit from any saving income nil rate band”

    basic rate taxpayers are below the threshold of 37700, should it be looked at from the total income or from the savings income ?
    if non savings income is 5000 ,savings income is 33000 , so the total income meets the threshold critera , hence a higher rate tax payer , or should we look at the savings income of 33000 and hence a basic rate tax payer
    should we apply the basic rate of SNRB of 1000 or higher rate of 500?

    Thank you.

    October 25, 2023 at 7:32 am #693951
    Anonymous
    Inactive
    • Topics: 53
    • Replies: 46
    • ☆☆

    Hi again ,
    Progressing from the lectures , I have come to the understanding that it should be looked at from the total income taxable , please correct me if I am wrong .
    And while totalling the income tax liability we must look at the non savings income ,savings income and dividends as a whole to check whether it meets the thresholds and not just the individual amounts.

    Thanks .

    October 25, 2023 at 9:37 am #693954
    Anonymous
    Inactive
    • Topics: 53
    • Replies: 46
    • ☆☆

    The same goes for dividends NRB too right , threshold is looked at from total of the income not the individual dividend income amount .If our total taxable income is 206000, and the dividend income is 36000, the first 2000 is at 0% rate and the rest 34000 isn’t at 9.75% but at 39.35%.

    You have made this subject easier to digest ! Really appreciate your work.

    October 25, 2023 at 10:33 am #693958
    JillyB
    Keymaster
    • Topics: 0
    • Replies: 899
    • ☆☆☆☆

    Well thank you for your feedback – I think watching the lectures along with the manual helps as I cannot write everything down in the manual to help a student understand.
    You are correct and well done for sorting it out – you have learned a valuable lesson there.
    All the best with your studies

    Jill

    October 25, 2023 at 12:54 pm #693963
    Anonymous
    Inactive
    • Topics: 53
    • Replies: 46
    • ☆☆

    Thanks alot for the support.

    October 26, 2023 at 1:12 pm #694021
    JillyB
    Keymaster
    • Topics: 0
    • Replies: 899
    • ☆☆☆☆

    No worries

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