The number of people aged 65 and over who are paying income tax is expected to have broken through the 10 million mark this tax year, according to HM Revenue and Customs (HMRC) figures.Around 9,570,000 people in this age bracket were paying income tax in 2025-26.In 2026-27, the number of people aged 65 and over expected to be paying income tax was put at 10,200,000 in the HMRC data.The number of income tax payers over state pension age was 9,080,000 in 2025-26, with an expected jump to 9,580,000 in 2026-27.The state pension age has started a phased rise, gradually increasing in steps from 66 to 67.Sir Steve Webb, a former pensions minister who is now a partner at consultants LCP (Lane Clark & Peacock), said: “The surge in older people paying income tax is continuing.”David Brooks, head of policy at financial services consultancy Broadstone, said: “Pensioners are not a uniform group and, while some rely heavily on the state pension, many benefit from occupational and private pension savings built up over decades.”HMRC’s figures also showed that around 7,700,000 people are projected to be higher rate income tax payers in 2026-27, which is just over one million more people compared with the 6,600,000 higher rate income tax payers two years earlier, in 2024-25.HMRC said the number of people paying income tax in 2026-27 is projected to be around 40,800,000.Laura Suter, director of personal finance at AJ Bell, said: “Frozen tax thresholds are affecting almost everyone who pays income tax, from pensioners to anyone earning more than the £12,570 personal allowance.”She added: “By the end of this tax year, almost a quarter of all taxpayers are expected to be over the state pension age – as a number of factors have combined to mean that more pensioners are paying tax on their income.Get a free fractional share worth up to £100.Capital at risk.Terms and conditions apply.Go to websiteADVERTISEMENTGet a free fractional share worth up to £100.Capital at risk.Terms and conditions apply.Go to websiteADVERTISEMENT“The general trend of an ageing population means there are more people over the state pension age, but also more people are working past this point, leading to more taxpayers.”Shaun Moore, a tax and financial planning expert at wealth manager Quilter, said: “What were once considered tax rates for wealthier people are increasingly reaching a much broader group.”He added: “While pay packets have grown in recent years, much of that increase has simply reflected higher inflation and living costs.“The result is that people are paying more tax not necessarily because they have become significantly wealthier, but because frozen thresholds mean a greater proportion of their income is being captured by the tax system.”