The Low-Down on Income Tax in the UK for Foreigners

Current rates and allowances

We are here to explain the in-depth income tax in the UK for foreigners. Things about Your annual income tax payment is determined by:

what portion of your income exceeds your personal allowance

what proportion of your income is subject to each tax bracket

Tax-free income is some income.

Low-Down on Income Tax in the UK for Foreigners


the period from 6 April 2022 to 5 April 2023 is the current tax year.


Welsh speakers can access this manual as well (Cymraeg).


Your own allowance, free of taxes

The amount of income on which you are not required to pay taxes is known as the Personal Allowance, which is typical £12,570.


If you apply for Marriage Allowance or Blind Person's Allowance, your Personal Allowance can be higher. If your income is greater than £100,000, it is less.


Income Tax rates and bands

The table displays the tax rates for each band that you pay if

BandTaxable incomeTax rate
Personal AllowanceUp to £12,5700%
Basic rate£12,571 to £50,27020%
Higher rate£50,271 to £150,00040%
Additional rateover £150,00045%

Additional allowances

Your tax-free allowances include:

dividends on your money, if you hold stock in a corporation.

Additional tax-free allowances could include:


Your "trading allowance" is the first £1000 of self-employment revenue.

unless you're using the Rent a Room Scheme, your first £1,000 in rental property revenue


Any interest, dividends, or income that exceeds your allotments is subject to taxation.

Reducing income tax

If you qualify, you might be able to file a claim for income tax relief.


If your income is below the usual Personal Allowance and you are married or in a civil partnership, you may be able to use the Marriage Allowance to lower your partner's tax.


Married Couple's Allowance may be available to you if you do not currently receive Marriage Allowance and either you or your spouse was born prior to 6 April 1935.

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