Pensioners > On a very low income? > Non taxpayers and 10% taxpayers
Non taxpayers and 10% taxpayers
You will be treated as a non-taxpayer if your allowances are greater than your income.
Your income includes things such as pensions, wages, dividends and bank interest but before tax is taken off. It excludes any tax-free income listed here.
| Helen - non taxpayer |
| Helen, aged 70, has income of £5,000 for 2011/12. She is not married and has no other income. |
| £ | |
| Income | 5,000 | |
| Less: personal allowance | 9,940 | |
| Helen has excess allowances of | £ 4,940 | |
| So Helen is a non-taxpayer for 2011/12. |
- If you are a non-taxpayer it is possible for you to have most income paid to you without tax being taken off.
- Use the link to see see if you will be a taxpayer who gets the 10% starting rate for savings.
- Many of the problems of the 10% taxpayer, as for the non-taxpayer, are through having too much tax deducted from your income before you get it. However, unlike the non-taxpayer, the 10% taxpayer cannot ask for his income, such as bank interest, to be paid without tax taken off. This tax will have been deducted at 20%.
- HMRC may owe you a repayment and if so they will want to give it you back.
