The UK tax tables for the 2004/2005 tax year provide essential information for both contractors and businesses in the UK. These tables summarize the key allowances, income tax rates, national insurance rates, and corporation tax rates that were applicable during this period. Knowing these values can help individuals and businesses stay compliant with tax regulations and make informed financial decisions.
Tax Rates and Allowances
Description
2003-04 (£)
2004-05 (£)
Increase (£)
Income Tax Allowances
Personal allowance
4,615
4,745
130
Capital Gains Tax Annual Exempt Amount
Individuals etc
7,900
8,200
300
Other trustees
3,950
4,100
150
Inheritance Tax Threshold
255,000
263,000
8,000
Pension Schemes Earnings Cap
99,000
102,000
3,000
Taxable Bands
Description
2003-04 (£)
2004-05 (£)
Starting Rate
10% on income up to 1,960
10% on income up to 2,020
Basic Rate
22% on income from 1,961 to 30,500
22% on income from 2,021 to 31,400
Higher Rate
40% on income over 30,500
40% on income over 31,400
Corporation Tax Rates
Description
2003-04 (£)
2004-05 (£)
Starting Rate
10% on profits up to 10,000
0% on profits up to 10,000
Marginal Relief
10% on profits from 10,001 to 50,000
10% on profits from 10,001 to 50,000
Small Companies’ Rate
20% on profits from 50,001 to 300,000
19% on profits from 50,001 to 300,000
Marginal Relief
10% on profits from 300,001 to 1,500,000
10% on profits from 300,001 to 1,500,000
Main Rate
30% on profits over 1,500,000
30% on profits over 1,500,000
National Insurance Rates (REV2: 2002–04)
Description
2003-04 (£)
2004-05 (£)
Primary Threshold
£89 per week
£91 per week
Secondary Threshold
£89 per week
£91 per week
Employees’ Primary Class 1 Rate
11% on earnings between primary threshold and upper earnings limit; 1% above upper earnings limit
11% on earnings between primary threshold and upper earnings limit; 1% above upper earnings limit
Employers’ Secondary Class 1 Rate
12.8% on earnings above secondary threshold
12.8% on earnings above secondary threshold
Class 4 Rate
8% on profits from £4,615 to £30,940; 1% above £30,940
8% on profits from £4,745 to £31,720; 1% above £31,720
Class 4 Lower Profits Limit
£4,615 per year
£4,745 per year
Class 4 Upper Profits Limit
£30,940 per year
£31,720 per year
These tax tables for 2004/2005 provide a snapshot of the applicable rates and allowances for income, corporation tax, and national insurance. While the information in these tables is now historical, it remains useful for understanding past tax systems and for comparing how tax rates have evolved over time. If you’re reviewing past financial records or simply curious about previous tax periods, these tables are a valuable reference.
For more detailed information and additional resources, you can visit HMRC.
