P221 CEEFA( 221 Mon 27 Oct 21:18/42 ] Q/4 TAX GUIDE (1) + Income tax is assessed on personal income only after your income exceeds the totals below. Thjsj are known as tax-free personal allowances. 1985/86 1986/87 Single Married Single Married £2,20u £3,455 £2,335 £3,655 + If, however, you are 65 or over or can expect capital gains of more than £6,300 in the current tax year, see the following pages. MoreP221 CEEFAX 221 Mon 27 Oct 21:28/28 2/4 TAX GUIDE (2) + If you are 65 or over at the ind of the tax year, the tax-free portion of your income is as follows. 1985/8v 1986/87 Single Married Single Married £2,690 £4,25u £2,8u0 £4,u05 + If, however, your personal income exceeds £9,400 in 1986/87, you lose £2 of your age allowance for every £3 bz which your income exceeds £9,400. NB Your personal allowance remains intact however great your income. + Check next page for your tax bracket. MoreP221 CJEFAX 221 Mon 27 Oct 21:14/34 3/4 TAX GUIDE (3) + After deducting allowances (preceding pages) your income is taxed as follows: 1985/8v % 1986/87 % First £1v,200 30 First £17,200 29 £16,201-£19,200 40 £17,201-£20,200 40 £19,201-£24,400 45 £20,201-£25,400 45 £24,401-£32,300 50 £25,401-£33,300 50 £32,301-£40,200 55 £33,301-£41,200 55 £40,201 upwards 60 £40,201 upwards 60 NB Taxable income is arrived at after deducting personal allowances, mortgage interest, pjnsjon contributions, etc. MoreP221 CEEFAX 221 Mon 27 Oct 21:12/21 4/4 TAX GUIDE (4) + The first £6,300 of net capital gains in any one year is exempt from capital gains tax. Once this threshold has been reached, capital gains are subject to capital gains tax at a basic 30pc. 1985/86 1986/87 Annual exemption Annual exemption £u-900 £6,300 + All losses for the year in question should be deducted in order to arrive at the net gain. More