Income Tax (Indexation) Order 1996

JurisdictionUK Non-devolved
CitationSI 1996/2952
Year1996

1996 No. 2952

INCOME TAX

The Income Tax (Indexation) Order 1996

Made 26th November 1996

The Treasury, in pursuance of sections 1(6) and 257C(3) of the Income and Corporation Taxes Act 19881, hereby make the following Order:

S-1 This Order may be cited as the Income Tax (Indexation) Order...

1. This Order may be cited as the Income Tax (Indexation) Order 1996.

S-2 The amounts which, unless Parliament otherwise determines, will...

2.—(1) The amounts which, unless Parliament otherwise determines, will be treated by virtue of sections 1(4)2and 257C(1) of the Income and Corporation Taxes Act 1988 as specified for the year 1997 – 98 in sections 1(2)3, 257 and 257A4of that Act are set out in paragraphs (2), (3) and (4).

(2) In section 1(2) of the said Act (the charge to income tax)—

(a)

(a) in paragraph (aa) (lower rate limit)— £4,000;

(b)

(b) in paragraph (b) (basic rate limit)— £26,100.

(3) In section 257 of the said Act (personal allowance)—

(a)

(a) in subsection (1) (personal allowance)— £3,845;

(b)

(b) in subsection (2) (personal allowance— age 65 to 74)— £5,020;

(c)

(c) in subsection (3) (personal allowance— age 75 and over)— £5,200;

(d)

(d) in subsection (5) (income limit for age-related allowances)— £15,600.

(4) In section 257A of the said Act (married couple’s allowance)—

(a)

(a) in subsection (1) (married couple’s allowance)— £1,830;

(b)

(b) in subsection (2) (married couple’s allowance— age 65 to 74)— £3,185;

(c)

(c) in subsection (3) (married couple’s allowance— age 75 and over) £3,225;

(d)

(d) in subsection (5) (income limit for age-related allowances)— £15,600.

Bowen Wells

Michael Bates

Two of the Lords Commissioners of Her Majesty’s Treasury

26th November 1996

(This note is not part of the Order)

Sections 1(6) and 257C(3) of the Income and Corporation Taxes Act 1988 (“the Act”) operate to provide that the Treasury shall by order made by statutory instrument before 6th April 1997 specify the amounts which by virtue of those sections shall, unless Parliament otherwise determines, be treated as specified for the year 1997 – 98. These are the lower rate and basic rate limits (section 1 of the Act) and the personal and married couple’s allowances (sections 257 and 257A of the Act respectively).

This Order specifies the relevant amounts for the 1997 – 98 year of assessement.

The amounts of the lower rate and basic rate limits were specified for the year 1996 – 97 by section 72(2) of the Finance Act 1996.

For the year 1996 – 97, the relevant amounts for the purposes of subsections (1), (2), and (3) of section 257 of the Act were specified by section 74 of the Finance Act 1996. The relevant amounts for the purposes of sections 257(5) and 257A of the Act were specified by the Income Tax (Indexation) Order 1995 (S.I. 1995/3031).

Following the amendments to sections 1(4) and 257C(1) of the Act made by section 107(1) to (3) of the Finance Act 1993, the amounts in sections 1, 257 and 257A(5) of...

To continue reading

Request your trial

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT