HM Revenue & Customs collects tax to pay for public services. Each year the Chancellor’s Budget sets out how much it will cost to provide these services and how much tax is needed to pay for them.
What taxes might I pay?
Key taxes that you may have to pay include:
- Income Tax
- National Insurance
- Capital Gains Tax
- Inheritance Tax
- Stamp Duty
- Value Added Tax (VAT)and certain other duties
What is Income Tax?
Income Tax is a tax on your income but not all of it is taxable. You are allowed a certain amount of income each year without paying tax on it at all. This is called your Personal Allowance, which is usually around £10,000. If you are aged over 65 you may have a larger Personal Allowance.
Your income is assessed over the ‘tax year’ which runs from 6 April to the following 5 April. When your income is more than your Personal Allowance you will need to pay tax. For more details on the current tax rate and allowances visit www.gov.uk.
What is Taxable Income?
- earnings from employment
- earnings from self-employment
- most pensions income (State, company and personal pensions)
- interest on most savings
- income from shares (dividends)
- rental income
- income paid to you from a trust
- taxable benefits
The Citizens Advice Tax Team:
Citizens Advice Isle of Wight Tax Team have been delivering face to face tax help since 2016.
We are the only completely free face to face tax advice service on the Isle of Wight and last year we successfully helped over 4500 clients deal with their tax affairs.
In the current climate, we urge anyone who needs advice with a range of tax enquiries including: Self Assessment, PAYE, Tax Codes, Tax Credits, National Insurance, Capital Gains and navigating online HMRC resources to contact us on the details below:
For more information or to book an appointment, please call 01983 823898 ext: 2836 or email us at [email protected]
Winter Support Package For Self-Employed:
The Government announced it’s winter support package, this includes an extension to the Self Employed Income Support Scheme.
The extension will provide two grants and will last for six months from November 2020 to April 2021. Grants will be paid in two lump sum instalments each covering a three-month period.
The first grant will cover 3 months’ worth of profits from the start of November until the end of January. It will be worth 20% of average monthly profits and will capped at £1,875 in total.
You do not have to have applied for previous support.
To check if you’re eligible click on this link
For further information or to ensure that your Tax Returns are up to date please contact [email protected] or telephone 01983 823898 ext 2836
We are hear to help you.
Page Updated On 25/09/2020