Taxation

    Cards (15)

    • What types of income are taxed in the UK?
      Wages, self-employment profits, pensions
    • What does income tax fund in the UK?
      Government services like roads and education
    • What is the Pay As You Earn (PAYE) system?
      Tax is automatically deducted from wages
    • Who must complete a Self-Assessment tax return?
      Self-employed individuals and others if requested
    • What are National Insurance Contributions (NICs) used for?
      Funding benefits like state pension and NHS
    • Where can you find more information about income tax in the UK?
      www.hmrc.gov.uk/incometax
    • What happens if NICs are insufficient?
      Some benefits may not be available
    • How are NICs deducted for employees?
      Automatically from wages by the employer
    • How must self-employed individuals pay NICs?
      Directly by the individual
    • What is the purpose of a National Insurance number (NI number)?
      To track tax and NICs payments
    • When is an NI number sent to UK citizens?
      Before their 16th birthday
    • What must non-UK nationals do if seeking work in the UK?
      Get an NI number
    • Can you work in the UK without an NI number?
      Yes, but you need to apply for one
    • What documents are required to apply for an NI number?
      Proof of identity and permission to work
    • Does an NI number prove the right to work in the UK?
      No, it does not prove the right
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