Income tax

Income tax is the main tax that most people are aware of. Like its name suggests, income tax is a tax on your income.

Income that is taxable includes earnings from employment or self-employment, most pension income, interest on most savings accounts, income from shares, income from rental properties and income paid to you from a trust.

In contrast, there is also non-taxable income, such as certain company benefits and income from tax-exempt savings accounts such as ISAs. These types of income are ignored when working out how much income tax you must pay. 

Top tips

  • Find out more about income tax from HMRC.

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