Check out our article on the September 2022 Mini Budget and learn about how your business can be impacted. Incase you didn’t know, the Mini Budget was a package of tax deductions for the UK taxpayer. But, you are probably here to learn about the types of taxes in the UK. Continue reading to find out the main types of taxes in the UK.
The current system of taxation in the UK is based on the number of people who receive money from an individual source. Under the new plan, the government would calculate taxes based on the amount of money earned by each taxpayer.
NICs are paid into by employers and employees as part of the national insurance scheme. They are used to fund social security benefits such as pensions and unemployment benefits.
CGT is charged at different rates depending on whether an asset was bought before or after 1 April 2005. If you buy an asset between these dates, you pay 20% CGT on any gain above £1 million.
IHT is charged at a rate of 40% on the value of assets transferred by death. This means that if you inherit a property worth £2 million, you will owe £800,000 in inheritance tax.
If you donate money to charity, you can claim back some of the tax you pay through Gift Aid. You can do this by filling in a form online or by post.
If you have any questions about taxes in the UK be sure to reach out to our certified tax advisers for more specific advice on your tax situation. We will help you be compliant, file your taxes on time, and be tax-efficient at the same time. Contact us by clicking on the contact us button at the bottom of this article.
