The next band of tax is known as the Basic rate.
This means that any taxable income between £12,501 and £50,000 will be taxed at a rate of 20 per cent.
The Higher rate tax band covers taxable income between £50,001 and £150,000.
It means that taxable income within this range will be taxed at a 40 per cent rate.
The Additional rate applies to taxable income of more than £150,000, and the tax rate stands at 45 per cent.
Those with taxable income of more than £100,000 may not get the full UK Personal Allowance.
Tax allowance 2019: England, Wales, and Northern Ireland have four income tax bands
Tax allowance 2019: There are four bands with four different rates in the UK (excluding Scotland)
The Personal Allowance goes down by £1 for every £2 of income above the £100,000 limit
This is because for every £2 of income above this threshold, the Personal Allowance reduces by £1.
The government website states: “The Personal Allowance goes down by £1 for every £2 of income above the £100,000 limit. It can go down to zero.”
This is known as the income limit for Personal Allowance and it means that some people may get less of the £12,500 tax relief, or none of it at all.
In fact, in the tax year of 2019/20, those with taxable income of more than £125,000 will not get the Personal Allowance.
Some people may take notice of their personal tax code.