On April 5, 2024, the Scottish government announced reforms to the income tax system, which went into force on 6 April 2024. These reforms include establishing a new “Advanced Rate” tax band, which imposes a 45% tax on incomes exceeding GBP 75,000. There will be a 1% increase in the highest tax rate, bringing it to 48%. Additionally, individuals with incomes exceeding GBP 100,000 will have a reduction in their Personal Allowance by GBP 1 for every GBP 2 they earn above the GBP 100,000 threshold.
The following is the breakdown of the new tax bands and rates:
| Tax Band | Tax Rate |
| GBP 12,571* to GBP 14,876 | 19% Starter Rate |
| GBP 14,877 to GBP 26,561 | 20% Basic Rate |
| GBP 26,562 to GBP 43,662 | 21% Intermediate Rate |
| GBP 43,663 to GBP 75,000 | 42% Higher Rate |
| GBP 75,001 to GBP 125,140 | 45% Advanced Rate |
| Over GBP 125,140 | 48% Top Rate |
