The Government passed the Taxation (Income Tax Rate and Other Amendments) Bill on 3 December 2020. This was granted Royal assent on 7 December 2020. It contains four main measures, including:
- introducing a new top personal income tax rate of 39%
- introducing increase disclosure requirements for trusts
- increasing the Minimum Family Tax Credit (MFTC) threshold for the 2020-21 tax year
- clarifying the ability for Inland Revenue to require information for the purposes of providing quality policy advice.
The full details of the Bill are available on our Tax Policy Website.