Income Tax Act 2007 (c. 3)

Part 3 U.K. Personal reliefs

Chapter 2 U.K. Personal allowance and blind person's allowance

Personal allowances U.K.

35 Personal allowance for those [F1 born after 5 April 1948] U.K.

[F2 (1)] An individual who makes a claim is entitled to a personal allowance of [F3 £8,325] for a tax year if the individual—

[F4 (a) was born after 5 April 1948, and]

(b) meets the requirements of section 56 (residence etc).

[F5 (2) For an individual whose adjusted net income exceeds £100,000, the allowance under subsection (1) is reduced by one-half of the excess.

(3) If the amount of any allowance that remains after the operation of subsection (2) would otherwise not be a multiple of £1, it is to be rounded up to the nearest amount which is a multiple of £1.

(4) For the meaning of “adjusted net income” see section 58.]

Textual Amendments

F1 Words in s. 35 heading substituted (17.7.2012) (with effect in accordance with s. 1(8) of the amending Act) by Finance Act 2012 (c. 14), s. 4(2)(b)

F2 S. 35(1) renumbered (with effect in accordance with s. 4(4) of the amending Act) by Finance Act 2009 (c. 10), s. 4(1)

F3 S. 35(1) sum substituted (6.12.2012) by The Income Tax (Indexation) Order 2012 (S.I. 2012/3047), art. 3(a)

F4 S. 35(1)(a) substituted (17.7.2012) (with effect in accordance with s. 1(8) of the amending Act) by Finance Act 2012 (c. 14), s. 4(2)(a)

F5 S. 35(2)-(4) inserted (with effect in accordance with s. 4(4) of the amending Act) by Finance Act 2009 (c. 10), s. 4(1)

36 Personal allowance for those [F6 born after 5 April 1938 but before 6 April 1948] U.K.

[F7 (1) An individual who makes a claim is entitled to a personal allowance of £10,500, or (if greater) the section 35 amount, for a tax year if the individual—

(a) was born after 5 April 1938 but before 6 April 1948, and

(b) meets the requirements of section 56 (residence etc).]

(2) [F8 If the allowance under subsection (1) is greater than the section 35 amount, for] an individual whose adjusted net income for the tax year exceeds [F9 £26,100], the allowance under subsection (1)—

(a) is reduced by [F10 an amount equal to half of that excess income], but

(b) is not reduced below [F11 the [F12 section 35 amount].]

[F13 (2A) In this section “the section 35 amount” means the amount of any allowance to which the individual would be entitled under section 35 for the tax year if the individual had been born after 5 April 1948.]

(3) For the meaning of “adjusted net income” see section 58.

Textual Amendments

F6 Words in s. 36 heading substituted (17.7.2012) (with effect in accordance with s. 1(8) of the amending Act) by Finance Act 2012 (c. 14), s. 4(3)(d)

F7 S. 36(1) substituted (17.7.2012) (with effect in accordance with s. 1(8) of the amending Act) by Finance Act 2012 (c. 14), s. 4(3)(a)

F8 Words in s. 36(2) substituted (17.7.2012) (with effect in accordance with s. 1(8) of the amending Act) by Finance Act 2012 (c. 14), s. 4(3)(b)(i)

F9 S. 36(2) sum substituted (6.12.2012) by The Income Tax (Indexation) Order 2012 (S.I. 2012/3047), art. 3(f)

F10 Words in s. 36(2)(a) substituted (17.7.2012) (with effect in accordance with s. 1(8) of the amending Act) by Finance Act 2012 (c. 14), s. 4(3)(b)(ii)

F11 Words in s. 36(2)(b) substituted (with effect in accordance with s. 4(4) of the amending Act) by Finance Act 2009 (c. 10), s. 4(2)

F12 Words in s. 36(2)(b) substituted (17.7.2012) (with effect in accordance with s. 1(8) of the amending Act) by Finance Act 2012 (c. 14), s. 4(3)(b)(iii)

F13 S. 36(2A) inserted (17.7.2012) (with effect in accordance with s. 1(8) of the amending Act) by Finance Act 2012 (c. 14), s. 4(3)(c)

37 Personal allowance for those [F14 born before 6 April 1938] U.K.

[F15 (1) An individual who makes a claim is entitled to a personal allowance of £10,660, or (if greater) the section 35 amount, for a tax year if the individual—

(a) was born before 6 April 1938, and

(b) meets the requirements of section 56 (residence etc).]

(2) [F16 If the allowance under subsection (1) is greater than the section 35 amount, for] an individual whose adjusted net income for the tax year exceeds [F17 £26,100], the allowance under subsection (1)—

(a) is reduced by [F18 an amount equal to half of that excess income], but

(b) is not reduced below [F19 the [F20 section 35 amount].]

[F21 (2A) In this section “the section 35 amount” means the amount of any allowance to which the individual would be entitled under section 35 for the tax year if the individual had been born after 5 April 1948.]

(3) For the meaning of “adjusted net income” see section 58.

Textual Amendments

F14 Words in s. 37 heading substituted (17.7.2012) (with effect in accordance with s. 1(8) of the amending Act) by Finance Act 2012 (c. 14), s. 4(4)(d)

F15 S. 37(1) substituted (17.7.2012) (with effect in accordance with s. 1(8) of the amending Act) by Finance Act 2012 (c. 14), s. 4(4)(a)

F16 Words in s. 37(2) substituted (17.7.2012) (with effect in accordance with s. 1(8) of the amending Act) by Finance Act 2012 (c. 14), s. 4(4)(b)(i)

F17 S. 37(2) sum substituted (6.12.2012) by The Income Tax (Indexation) Order 2012 (S.I. 2012/3047), art. 3(f)

F18 Words in s. 37(2)(a) substituted (17.7.2012) (with effect in accordance with s. 1(8) of the amending Act) by Finance Act 2012 (c. 14), s. 4(4)(b)(ii)

F19 Words in s. 37(2)(b) substituted (with effect in accordance with s. 4(4) of the amending Act) by Finance Act 2009 (c. 10), s. 4(2)

F20 Words in s. 37(2)(b) substituted (17.7.2012) (with effect in accordance with s. 1(8) of the amending Act) by Finance Act 2012 (c. 14), s. 4(4)(b)(iii)

F21 S. 37(2A) inserted (17.7.2012) (with effect in accordance with s. 1(8) of the amending Act) by Finance Act 2012 (c. 14), s. 4(4)(c)