business & tax

Income Tax Advice - Income Tax Advice from the Financial Adviser of the Year

Pitt - you stinker ......... Income Tax was introduced by William Pitt the Younger in his December,1798 Budget to fund the Napoleonic War.  It was a temporary tax but is still here 200 years later.

Income tax is exactly what it sounds like.  It is an annual tax on income. There are different types of income with different tax rates.  Compare Employed Income to Savings Income.

Rates and allowances - Each year, as part of the Budget and subsequent Finance Act for the year, the Government renews its right to tax you and sets the rates and allowances.  You are taxed in tiers.   Up to date rates are detailed in our tax tables.

How is tax worked out? You have an annual allowance which is tax free and above this is taxable.