£53,345 salary but only paying 20% tax

Yorkie1

Don't forget to add any taxable (non-ISA) savings interest to your overall taxable income too, to assess your income tax band

saajan_12

MR_Johnson67 said:

Thank you for your responses. I am due to sell my house an will have some CGT to pay (I was not a resident of the house for >10 years). So finding out what tax band I am in determine if i pay 18% CGT or 24%. 
Thing is I have received some "bonus" at work and some "back pay" while salary was being negotiated (all in my payslip).  I rely on work to do all the tax work (PAYE), it would be unfortunate if I ended up in the 40% bracket due to these extra payments.

Just to avoid confusion, tax is banded so even if you were £1 under the higher rate threshold and hence in the basic rate band, you'd only pat 18% on that £1. The rest of the CGT exceeds the higher rate band so you'd pay 24% on the portion above the threshold (once added to income).