What is HMRC?
HMRC is a UK government organization, Her Majesty’s Revenue & Customs. This non-ministerial department is the authority on taxes, payments, and customs in the United Kingdom. Their administration collects taxes to pay for public services such as the NHS and education. They also issue some state benefits to families or individuals in need of financial support from the government. The aim of HMRC is to maximize revenue for the UK and prevent tax avoidance and evasion. Sometimes it is known as just the Tax Office. Every UK citizen has to deal with HMRC.
Continue reading What is HMRC? – A Guide
What are Tax Credits?
Tax Credits are a state benefit which the UK government pays to eligible claimants. If you qualify for tax credits, you must fill out a claim form to apply for them. The Tax Credit Office could fine you up to £3,000 if you provide incorrect information. They will usually backdate tax credits up to 31 days before the start of your claim. You might have to ask them to do this if you are claiming other benefits. The amount of money that you will receive every week or four weeks depends on your circumstances, particularly your income. Working Tax Credit can top up low incomes, and Child Tax Credit can help with childcare costs. You can’t claim tax credits at the same time as Universal Credit because it’s replacing them.
Continue reading Manage My Tax Credits Online
What is National Insurance?
National Insurance is a form of tax which applies to your earnings for every pay period. This could be weekly or monthly according to your employer’s payment arrangements. It will be deducted from your wages along with Income Tax. If you are self-employed, you have to complete a Self Assessment tax return before paying both Income Tax and National Insurance Contributions. You must pay NIC if you are over 16 years old and in employment earning over £162 a week, or self-employment with a profit above £6,205 a year. You stop paying when you reach the State Pension age. If you don’t pay National Insurance contributions, you will not qualify to receive certain benefits. These include the State Pension, Jobseeker’s Allowance, Employment and Support Allowance, Maternity Allowance, and Bereavement Support. You need an NI number to pay.
Continue reading A Guide to National Insurance
You may need to cancel your road tax for a number of reasons. For example, if your car has been written off, scrapped, or exported outside of the UK. To start the process of cancelling your road tax, you will need to contact the DVLA. Continue reading How to Cancel Road Tax
Pay All Your Taxes
The Chancellor of the Exchequer, Philip Hammond, has announced a consultation in the March Spring Statement. This consultation, which runs until June, is looking into ways to automatically collect tax on income earned from online trading platforms. Continue reading Should You Be Paying Gig Economy Tax or Sharing Economy Tax?