UK National Insurance

This calculator takes in the yearly gross salary as input and calculates the Income Tax and National Insurance based on the rules provided. It then calculates the take-home pay by subtracting the calculated Income Tax and National Insurance from the gross salary.

If the inputted salary is less than or equal to the tax threshold of £12,570, no Income Tax or National Insurance contributions are required. Otherwise, Income Tax is calculated using a progressive tax system with three different tax rates: 20%, 40%, and 45%, depending on the taxable income. National Insurance contributions are also calculated using a progressive system based on the weekly earnings, with rates of 0%, 12%, and 2% for different income ranges.

The calculated Income Tax and National Insurance contributions are then subtracted from the gross salary to obtain the take-home pay. The results are displayed in the form of a message showing the gross salary, Income Tax, National Insurance, and take-home pay. If the inputted salary is not a valid positive number, an error message will be displayed asking the user to enter a valid input.

1. How do I file my taxes?

To file your taxes in the UK, you need to register for Self Assessment with HM Revenue and Customs (HMRC). You can then file your tax return online or by paper, depending on your preference.

2. What is the deadline for filing taxes?

The deadline for filing your tax return and paying any tax owed is 31st January following the end of the tax year (5th April).

3. What is the Personal Allowance?

The Personal Allowance is the amount of income you can earn before you start paying Income Tax. In the tax year 2022/23, the Personal Allowance is £12,570.

4. Can I claim tax relief for expenses incurred for my job?

You may be able to claim tax relief for expenses incurred for your job if they are necessary for your work and you have not been reimbursed by your employer. Examples of allowable expenses include travel expenses, tools and equipment, and professional fees.

5. What is the difference between tax avoidance and tax evasion?

Tax avoidance is the legal use of tax laws to minimize the amount of tax paid. Tax evasion, on the other hand, is the illegal act of not paying the amount of tax owed. While tax avoidance is legal, aggressive tax avoidance schemes may be challenged by HMRC and could result in penalties or legal action.