The United Kingdom – Tax guide for Mobile EU Workers
Our UK Tax guide is produced to help mobile EU workers who are moving to UK, or who are working in Britain as a general workers, self-employers, freelancers, seasonal workers or seafarers. It will help you to understand the tax rates and benefits and also check if you are paying the correct amount of tax in the UK.
|Tax Year to date||6th April to 5th April|
|Time limits for claiming a tax refund||2011-12; 2012-13; 2013-14; 2014-15; 2015-16|
0% of Income Tax
|Most people in the UK get a personal allowance. The basic Personal Allowance is the amount of income you don’t have to pay tax on.
A tax free personal allowance for a single person
John worked for seven months in Tax Year 2015-16. He earned £11,600 (his income). His employer took £1000 of Tax from his salary.
How John's refund is calculated? John gets basic personal allowance of £10,600. That is why he has to pay Tax on £1000 only and that is £200 (£11,600 minus £10,600 = £1000; 20% on £1000 = £200).
As a result, John has overpaid tax and his refund will be £800 (£1000 minus £200 = £800).
|Tax resident||An individual is treated as a tax resident in the UK in the tax year, if he/she spends 183 days or more in the UK during the tax year.
Tax residents are liable to pay UK tax on their worldwide income.
|Non tax resident||A non-residents are taxed on UK source income only (limited tax liability).|
|Double Taxation Agreement||The United Kingdom has signed tax treaties with many countries to avoid double taxation. The main aim of these agreements is to avoid that one taxpayer is charged similar taxes more than once on the same income for the same period.
|Tax Authority||HM Revenue and Customs (HMRC)
|Salary||The National minimum wage for workers aged 21 and over in 2013 is from £6.31 per hour.|
|Who Needs to File a Tax Return?||
|Tax Return due date||
|When will you get your refund money?||After submitting an electronic tax return, you will receive a Tax Assessment automatically.
If you send a paper tax return or claim letter (for basic employee), HMRC will send you a Tax Assessment in 12 weeks.
If you have paid too much tax (overpaid tax), UK tax office will send a cheque to your nominee (Agent) or to you, within 14 working days after the date of issue of the notice of assessment.
|Tax Assessment||Once Inspector has checked the tax return or claim, you will receive a Tax Assessment (or Tax Calculation P800).
The Tax Assessment (or Tax Calculation P800) is a letter with the tax calculation and information about tax repayments or tax underpayment
|What documents or information do I need for filing a tax return with Eutaxback.com?||
|Identification Tax Number||National Insurance number (NIN) - is a unique personal number for every UK employee and is to be used for employment and government services. Number consists from numbers and letters, for example, XY 12 34 56 Z.
UTR number - is a unique personal number to complete a self assessment tax return. Number consists from 10 digits.
|Annual Statement from employer||
|Income Tax and Social Security||Income Tax Rates (2014-15 t.y.)
|Allowances and tax credits||Allowances for all taxpayers in 2014-15