Rates and allowances

Details of Isle of Man Income Tax Rates, Allowance and the tax treatment of Deductions, both current and historic, are provided below. In addition, information regarding National Insurance Rates and Thresholds are available.

The tax year in the Isle of Man runs from 6 April to 5 April, with any changes in Rates and Allowances, or other tax changes, announced in the Budget, usually February each year, to take affect from the next 6 April period.

Budget changes for the tax year commencing 6 April 2023.

Current Rates and Allowances

The current Rates and Allowance are shown below:

Personal Allowances 2023/24
Single Person Allowance*	£14,500
Jointly Assessed Couple Allowance*	£29,000
Single Parent Additional Allowance	£6,400
Blind Person Allowance	£2,900
Disabled Person Allowance	£2,900
Non-Resident Allowance	£0

*The Personal Allowance is reduced by £1 for every £2 that your income is in excess of £100,000 or £200,000 for a jointly assessed couple.

Personal Income Tax Rates 2023/24
Standard Rate	10%
Higher Rate	20%
Non-Resident Rate	20%

The threshold at which the higher rate becomes payable is £6,500 for an individual and £13,000 for a jointly assessed married couple or civil partners.

Standard Rate Tax thresholds 2023/24
Single Person	£6,500
Joint Assessed	£13,000
Balance taxable at	20%

An election to cap the amount of Income Tax is available, with the current election rate shown below. Further details on the Income Tax Cap Election is available in Guidance Note 51.

Annual Income Tax Cap Election Amount 2023/24
Single Person	£200,000
Joint Assessed	£400,000

Income Tax Rates and Allowances (current and historic)

Personal Allowances

Description	17/18	18/19	19/20	20/21	21/22	22/23	23/24
Single Allowance	12500	13250	14000	14250	14250	14500	14500*
Jointly Assessed Couple Allowance	25000	26500	28000	28500	28500	29000	29000*
Single Parent Additional Allowance	6400	6400	6400	6400	6400	6400	6400
Blind Persons / Disabled Persons	2900	2900	2900	2900	2900	2900	2900
Non-Resident Allowance	0	0	0	0	0	0	0

*The Personal Allowance is reduced by £1 for every £2 that your income is in excess of £100,000 or £200,000 for a jointly assessed couple.

Personal Income Tax Rates

Description	17/18	18/19	19/20	20/21	21/22	22/23	23/24
Standard Rate	10%	10%	10%	10%	10%	10%	10%
Higher Rate	20%	20%	20%	20%	20%	20%	20%
Non-Resident Rate	20%	20%	20%	20%	20%	20%	20%

Standard Rate Tax thresholds

The threshold at which the Higher Rate becomes payable for a single person and for a jointly assessed married couple or civil partners is shown in the table below.

Description	17/18	18/19	19/20	20/21	21/22	22/23	23/24
Single Person	6500	6500	6500	6500	6500	6500	6500
Jointly Assessed	13000	13000	13000	13000	13000	13000	13000
Balance taxable at	20%	20%	20%	20%	20%	20%	20%

Income Tax Cap Election Amount

Description	17/18	18/19	19/20	20/21	21/22	22/23	23/24
Single person Tax Cap amount	125,000	150,000	175,000	200,000	200,000	200,000	200,000
Jointly Assessed Couple Tax Cap amount	250,000	300,000	350,000	400,000	400,000	400,000	400,000

Deductions / Tax Relief

Description	17/18	18/19	19/20	20/21	21/22	22/23	23/24
Mortgage and Loan Interest limit**	5000	5000	5000	5000	5000	5000	5000
Benefit In Kind Exemption (not car benefit)	400	600	600	600	600	600	600
Nursing expenses limit	12500	12500	12500	12500	12500	12500	12500
Charitable Donations	7000	7000	7000	7000	7000	7000	7000
Private medical insurance limit	1800	1800	1800	1800	1800	1800	1800
Homestay (TT fortnight only)	1800	1800	1800	1800	1800	N/A	N/A
TT Homestay Allowance	N/A	N/A	N/A	N/A	N/A	2350	2350

** Mortgage and Loan Interest limit is for a single person, limit is doubled for a jointly assessed couple.