Major Taxes in the United Kingdom
The UK tax system is administered primarily by His Majesty's Revenue and Customs (HMRC), with some taxes (like Council Tax) handled by local authorities. There is no single official "full list" published by the government, but taxes can be categorised into direct taxes (paid directly on income or wealth) and indirect taxes (paid on goods, services, or transactions). The following is a comprehensive list of the main taxes as of 2025, based on HMRC responsibilities and other sources.
Direct Taxes
- Income Tax: Paid on earnings, pensions, rental income, and other sources (after personal allowance).
- National Insurance Contributions (NICs): Paid by employees, employers, and self-employed on earnings (funds social security).
- Capital Gains Tax (CGT): Paid on profits from selling assets like shares or second homes.
- Inheritance Tax (IHT): Paid on estates above the threshold upon death.
- Corporation Tax: Paid by companies on profits.
Indirect Taxes
- Value Added Tax (VAT): Added to most goods and services (standard rate 20%).
- Excise Duties: On specific goods:
- Alcohol Duty (beer, wine, spirits, cider).
- Tobacco Duty.
- Hydrocarbon Oil Duty (fuel duty on petrol/diesel).
- Gambling Duties (e.g., betting, gaming, lottery).
- Stamp Duty Land Tax (SDLT): Paid on property purchases in England and Northern Ireland (equivalent in Scotland: Land and Buildings Transaction Tax; in Wales: Land Transaction Tax).
- Air Passenger Duty (APD): Paid on flights departing UK airports.
- Insurance Premium Tax (IPT): Added to most insurance premiums.
- Vehicle Excise Duty (VED): Annual tax on vehicles (road tax).
- Climate Change Levy (CCL): On energy use by businesses.
- Aggregates Levy: On sand, gravel, and rock extraction.
- Landfill Tax: On waste disposed in landfills.
- Plastic Packaging Tax: On plastic packaging with less than 30% recycled content.
Other Taxes and Levies
- Council Tax: Local tax based on property value (paid to local councils for services).
- Business Rates (Non-Domestic Rates): Local tax on business properties.
- Annual Tax on Enveloped Dwellings (ATED): On high-value residential properties owned by companies.
- Soft Drinks Industry Levy (Sugar Tax): On sugary drinks.
- Energy Profits Levy (on oil and gas companies).
- Electricity Generator Levy (on certain electricity generators).
This covers the vast majority of taxes individuals and businesses encounter. Some specialised or temporary levies may exist (e.g., related to environmental or energy sectors).