John F. Kennedy once said, “Every dollar released from the tax is spared or invested will help to create a new job and a new salary”.
Around the spring, you will start hearing complaints from here and there about the income tax. Sure we understand that taxation is the basic source of income for the government but we really know how to calculate tax over your income? The taxation system, especially in the UK, is something that is not easy to explain to the first time payers. When it comes to taxation, the UK has the longest taxation code in the entire world.
In the recent interview, the company name LexisNexis revealed that taxation code has doubled since 1997 and reached around 11,520 pages which are actually nerve-wracking for many taxpayers. In addition, the annual changes in the tax duty through the finance law which changes the tax rates may set out in the main tax acts. Students who are gaining expertise in the UK taxation need to understand the taxation rates, act and rules to calculate the right amount of tax, the citizen has to pay. Moreover, it is easy to understand and write them in a single day, therefore, they might need assignment writing help on taxation at an affordable price.
The UK Tax System
The basic UK taxation system includes income tax, capital gain taxes, property taxes, UK inheritance taxes and VAT. Majority of these taxes are based on the capabilities of the payers, the higher they earn, the more they can pay. The UK taxation system is applicable around the country including England, Scotland, Wales, Northern Ireland, smaller British coasts, territorial waters, though it excludes the Channel Islands, Republic of Ireland, Isle of man.
One of the most interesting things about the UK taxation system is it treats spouses differently and charge them as individuals with the exception of small allowance.
Right before you call yourself a UK taxpayer, you need to have a national insurance number. The only exception is if you are a national from the European Economic Area, Switzerland or EU member nation. In order to pay taxes, you may also need to apply for the tier 2 visa. More information can be obtained from taxation assignment paper help.
What is the UK Tax Year?
In the UK, the taxation year is set from 6 April to an annual calendar year to 5 April to next year. Which means the current taxation year will be noted as 2018/2019.
The residency status: who is responsible to pay taxes?
You will be surprised to read that in the UK all living residence regardless of their residency status. Moreover, the tax system doesn’t define what source of income will be added in the taxation. An individual who is living or running a business in the UK is responsible to pay taxes on the basis of his or her overall income with the specific allowance that are given to avoid duplication of taxes.
Non-UK residences, however, are responsible for paying taxes only on their income. In case, if you are UL student and writing assignment on the taxation system, then feel free to acquire taxation homework and assignment from BookMyEssay.