It was announced in the Budget that from 2013/14 the higher age related personal allowances will not be increased and their availability will be restricted to people born on or before:
• 5 April 1948 for the £10,500 allowance
• 5 April 1938 for the £10,660 allowance
This has been labelled the ‘granny tax’ by many as the increased allowances will no longer be available to those reaching age 65 and 75 respectively.
To talk to somebody about how this may affect you, please contact one of our tax managers Ian Frost on 0121 711 2468 or Sarah Grandison 02476 518 555.