RPSM15200030 - Member Pages: Special annual allowance: Overview: How do I work out if my income is £130,000 or more

This guidance only applies for the 2009-10 and 2010-11 tax years.

How do I work out if my income is £130,000 or more?

You will only be liable to the special annual allowance charge 

• in 2009/10 if your relevant income in any one of the tax years 2007/08, 2008/09 or 2009/10 is £130,000 or more
• in 2010/11 if your relevant income in any one of the tax years, 2008/09, 2009/10 or 2010/11 is £130,000 or more.

There is a 6 step process for working out if you have income of £130,000 or more for the purposes of the special annual allowance. This stepped process is based around the normal process for working out your taxable income that you would use when completing your SA return. However there are some important differences.

The section of the guidance starting at RPSM15201000 takes you through the process of finding if you have income of £130,000 or more and so are affected by the special annual allowance rules.