income taxes in UK

[asafbu]

Hello Guys,

How does the taxes in UK works for contractors?

Is there something similar to 1099 (like in US) in UK where you are all responsible for social security, medicare, federal and state?

Thanks

[John]

Hi, are you thinking of moving to the UK? If so, based upon the wording of your question you have quite a bit of adjustment to do to your mindset! Federal? State? Not terms we need to bother about here in the UK.

To give you some idea of the income tax system, have a read of Rates and Allowances - Income Tax. As well as details of the income tax rates etc, there is also a link to National Insurance that you might like to click.

Those details will at least give you some idea of the basics. This basic guide might also help you.

[philgeorge999]

In the UK income taxes are levied nationally, so the tax bands are the same across the country. Contractors do have to manage their own income tax affairs of course, completing self-assessment forms and so on, but it is a million times simpler than the US. Most people employ accountants to do it for them... because you'll usually have to run a company too and that can get quite complicated to document... but it is possible to do it youself.