Basic And Higher Rate Income Tax

rosieraspberry

I am just wondering about income tax brackets.
If you earn £43001 or more you pay higher rate tax of 40% instead of basic rate 20% tax.
Do you only pay 40% tax on the income you earn above £43000 or do you pay it on all of your income (apart from the tax free personal allowance)?
Surely if you pay 40% tax on all of your income then people on £44000 will net less money than people on £42000?

marliepanda

rosieraspberry wrote: »

I am just wondering about income tax brackets.
If you earn £43001 or more you pay higher rate tax of 40% instead of basic rate 20% tax.
Do you only pay 40% tax on the income you earn above £43000 or do you pay it on all of your income (apart from the tax free personal allowance)?
Surely if you pay 40% tax on all of your income then people on £44000 will net less money than people on £42000?

The income above 43k