How many people pay income tax in the UK?
More than 28 million people pay income tax in the UK. That’s 54 per cent of people. What was the highest income tax rate in history? In 1978/79 the top rate of tax on earned income was 83 per cent on income above £24,000 a year. What are the income tax bands? Income tax has a number of bands: • 10 per cent (lower rate) • 20 per cent (basic rate for interest) • 22 per cent (basic rate) • 32.5 per cent (higher rate for UK dividends) • 40 per cent (higher rate of other income). (There are also a number of allowances allowed before the tax bands apply.
