The £150,000 threshold applies to total income, so not just gross salary but also any taxable benefits and investment income. Employed taxpayers with income between £100,000 and £150,000 for 2022/23 – and with no other reason for completing a return – should receive a self-assessment exit letter from HMRC so that they do not need to complete a return for 2023/24.
However, as a 60% tax rate applies on income between £100,000 and £125,140, any mistake by HMRC could be expensive. It may therefore be a good idea to still submit a return to ensure correct relief is given for deductions such as professional subscriptions, and always where reliefs such as pension contributions or donations to charity need to be claimed.
