Taxing Income in the UK
Nearly everyone living in the UK is entitled to a personal tax allowance – the amount of income you can receive each year without having to pay income tax on it. You may be entitled to a higher personal allowance if you’re aged 65 or over.
|Personal Allowances||2009–10 and 2010–11|
|65 to 74||£9,490|
|Age allowance limits*||£22,900|
*The higher personal allowance paid to those people aged 65 and over is reduced for income at and above this level by £1 for every £2 of income until the extra age allowance rate comes down to the personal allowance for under 65s.