Income tax Flashcards
1
Q
Who is a taxable person
A
- Uk resident (taxable on income arising overseas or uk)
- Non-Uk resident (taxable on income arising in uk)
2
Q
Classifications of income
A
- Employement income
- Property income
- Trading income
- Interest
- Dividends
3
Q
Exemptions from income tax
A
- ISAs
- National savings certificates
- specific minor employee benefits
- specific lump sums from pension
- ‘rent a room’ income
- premium bond prizes and bettings winnings
- specific social security benefits
4
Q
Married couples and civil partners
A
- taxed independently
- joint income split evenly unless couple elects otherwise
5
Q
Non-savings income mainly consists of…
A
- employment income
- business profits
- property income
6
Q
Saving income includes…
A
- Bank and building society interest
- Interest on government securities
- Loan interest
7
Q
how do you ‘gross up’ any net income received?
A
multiply the net amount by 100/80
8
Q
What is the PSA and Dividend allowance for an additional rate tax payer?
A
PSA- 0
DA- 1000
9
Q
A
