UK Income Tax Explained (UK Tax Bands & Calculating Tax)

Two things: The Queen was not harmed in the making of this video. Yes, I know I put too much milk in my tea.

UK government takes huge amounts of tax and does nothing with it. 20% vat????!! Then they say that to fix the roads will need a tax hike?! Just use the billions of pounds you get already to fix the potholes.

im loving british humour

City of London Crown Corporation mafia games

Im new to all this so with fresh eyes ...i have to ask WHY was a system that could be fair ( uses a %) and therefore more you earn more you pay in a proportional fair way made into an UNFAIR one with tax bands. I mean think about it! An 80k salary becomes a 56K one thats patently NOT fair. Am i missing something?

Tyrique Shoals

Hypothetical questions. Say someone is on a 45k basic. But then earns 1k commission for 9 months of the year. Does the 40% happen on month one when commission is earnt. Does Hmrc see this comms as every month and then you get a rebate? Trying to work this out so I can pay more into pension to take me below the 40% (on the amount over £50,000***. Sorry for the long question. Thanks!

Nice and clear thx!
Can you explain if i get pay rise from £17.5/h to 18, why my weekly wages only go £3.5 higher after tax, and £35 higher before tax? I am done 48 hours in a week, so this is not adding up. Thx

UK. IS A CORPORATION.
DO YOU LIVE IN A CORP.....S

Thank you, well explained

Does your tax calculator have a section for adding benefits like PIP & Pension credit?

I got one question, I do trading forex, I use Skrill for the payments, to the brokers, Now If I have a earning of 100,000 GBP in my Skrill account, do I need to pay tax on the amount in the my Skrill e-wallet or on the amount which I withdraw from Skrill to my bank account.

How did you get to the number 37,500£? When 60k-12,500£ is 47,500£?where did the remaining 10k on the 60k salary come from ?

succinctly explained!

Awesome video tom!

I’m struggling to see why I have to pay tax though, Education in the country is shit, housing is shit, the roads are shit, Trainline is shit. Everything the tax money goes towards is just shit

Nicely done mate!

You are not funny bro

brilliant video really clear to understand thank you

Thank you so much for breaking it down into a way it was easier to understand

Habibi, come to Dubai

Are there any other taxes to look out for or is it just Income tax you will have to pay within the UK?

Say you get your salary from an employer who already deducts PAYE and then you earn interest form a savings account too, do you pay the savings interest seprately or do you add it to the income earned from your salary and then pay tax for that full amount?

One thing that really annoys me about having to pay tax is how some of that money goes into things that are just going to cause me problems.

For example, all of the roadworks in the country are paid for with the money of British taxpayers and yet roadworks cause a lot of problems for people.

In what sense does it make having to pay for something that makes your life more difficult?

What a minute, do different rules not apply to people who live in scotland??

Just tell us, stop trying to be funny

*His Royal

Hi, please I have a question, I got my first job in the uk in July and I wasn’t taxed for the first 3 months, but got taxed this month of October, what does this imply? Was I supposed to be taxed yet?

so, do I subtract the personal allowance first before checking which bracket I'm in?

thank you, this was very funny and it helped a great deal

I loved the Elizabeth jokes

If you earn £200,000 . As you explained there are no personal allowances yet you only tax £37,000 @ 20 percent. Yet the first applicable bracket would be £50,270 ?
Shouldn’t it be 20 percent on the £50,270 ?

When the mafia robs you it's illegal. When the queen robs you you worship her.

So in other words try and get your employer to pay you £12,500 a year and the rest is cash in hand.

Can someone explain to me the last example please?

I'm here in the philippines, someone want to send money for me from UK.. May I ask, should I pay any tax?

Great video mate! Liked and subbed 👍

Do people under 21 not pay tax

just get to the point

Should've studied accountancy. Oh wait, my mathematical skills aren't up to par

Do you offer financial advice? on a personal level?

Good video thanks! I managed to take a massive hit this past tax return, all I ever thought was "20%... 20%" not taking into account national insurance and my student loan 😕😭

I wish we learnt this in school 😂😂😂😂

Dear Sir,

If you do not mind, I would like to ask for information regarding the tax refund when leaving the UK. To be more precise, how much tax would I be entitled to claim in the event I worked full time for four months in this tax year and decided to leave the UK in march 2023. The total payment on P45 is £9657,06 and my income tax is £957,40.

Thank you

Could someone explain one thing for me please? Why is it when I check my payslips from the beginning of the financial year (those within the personal tax allowance) do I see tax deductions?

Thats why we all came here😂 daaaamn guys daaamn

Wait you say when you receive 200.000 you'll lost your personal allowance that is 12.500, but after you say that on higher rate taxes will cut a 45.000 on your 112.500, but again you said that the higher rate is from 50.000 to 150.000 if you do 150.000 - 50.000 you get 100.000 then you do 100.000 * 40% that should be 40.000 tax not 45.000 I don't get it why you took 112.500 and not 100.000 did you add the personal allowance to higher rate ? I thought only 100.000 of the 150.000 are taxed with 40% rate and never more how you've got that extra 12.500 pounds on the higher rate please explain ?