Budget 2011: Income tax allowance will increase by £630 in 2012
Chancellor George Osborne has announced that the personal income tax allowance will increase by £630 to £8,105 from April 2012.
The increase is slightly higher than the expected £600 income tax allowance increase.
Delivering the Budget today, Osborne said the move would benefit “those working hard to pay for their families’ needs.”
In last year’s Budget, the Chancellor announced the allowance will rise by £1,000 in April this year to £7,475, alongside a £1,400 cut to the threshold for those paying 40 per cent tax from £43,875 to £42,475.
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