The Scottish Budget has ushered in a new era in the country's devolution journey.

For the first time since income tax powers were transferred from Westminster to the Scottish Parliament, the Scottish Government has chosen to change income tax rates and bands.

Under the reforms, most Scots could pay marginally less than their counterparts in the rest of UK (rUK) but hundreds of thousands of others may fork out more to the tax man.

Previously, Scotland had three income income tax bands. From April next year, the number is set to go up to five.

The personal allowance, the amount you earn before you are liable to pay income tax, is set by the Chancellor and will rise to £11,850 from the next tax year.

Those earning less than £26,000 a year will pay less income tax under the changes.

This means around 1.4m people (55% of workers) will be better off.

Anyone earning more than £33,000 will be paying more their counterparts in the rest of the country.

The largest tax increases will fall on the very richest.

The Scottish Government's resource budget is being reduced in real terms next year.

To plug the gap, the devolved administration can either cut spending in certain areas or try to raise more revenues from taxation. They have chosen the latter.

Finance secretary Derek Mackay also said he wanted the system to be "fairer" so those who earn the least pay less and those who earn the most pay more.

"Having carefully considered contributions from the public, civic society and the business community, I have decided to reform Scotland's income tax system," he told MSPs in a statement.

"Using the limited powers available to us, the decisions I have reached will make our income tax system fairer.

"They will safeguard those on low incomes and overall when coupled with our spending decisions will protect and grow the economy.

"And they will provide essential revenue to enable us to invest in our NHS, without imposing cuts on vital services such as social care, business support, police or education."

The Budget will now be put forward as a bill in the Scottish Parliament and opposition MSPs will try to secure changes to it.

The SNP govern Scotland as a minority administration and require the support of at least one rival party for it to pass.

They hope the process will be completed by mid-February, well in time for the new tax year in April.