Draft Welsh Budget – implications for taxes
On 7 January the Welsh Assembly reiterated proposals to leave the welsh rates tax unchanged.
The proposal is to leave the welsh rate of income tax and land transactions tax unchanged, and to make an inflationary increase to the rate of landfill disposals tax.
The welsh rate of income tax is 10%. This is added to reduced rates of UK income tax paid by Welsh taxpayers, as follows:
- basic rate 10%
- higher rate 30%
- additional rate 35%
Overall, this means that welsh taxpayers will continue to pay the same amount of income tax as taxpayers in England and Northern Ireland.