Between April and December 2018, HM Revenue & Customs raised £19.4 billion more than it did during the same period in 2017.
According to the latest research, the significant rise is primarily down to a £12.8 billon increase in the amount of inheritance tax, National Insurance and capital gains tax paid by individuals in the UK. Adding to this, VAT receipts rose by £4 billion, with income from corporation tax growing by £1.7 billion.
The findings come at the same time as the first Sunday Times Tax List is published, revealing that the fifty wealthiest individuals or families in the UK were liable for nearly £2 billion of UK tax last year.
The survey examines the taxes due on business profits, share sales, dividend income, and, where known, personal income through their salaries.
Top of the list is Stephen Rubin who owns a majority stake in the high-street chain JD Sports, as well as sports and fashion brands such as Mitre, Speedo, Berghaus and SeaVees through his London-based Pentland Group. In total he had tax liabilities of £181.6 million in 2018.
A notable inclusion in 49th place are David & Victoria Beckham who paid a total of £12.7 million of tax, due from their dividends and other levies in the accounts of their two principal companies.
Robert Watts, who compiles the Tax List and The Sunday Times Rich List says: “It’s hard to deny that the Panama Papers, Paradise Papers and other high-profile scandals have given the impression that none of Britain’s wealthy elite contribute a penny to our public finances.
“But our inaugural Sunday Times Tax List shows which of the super-rich are contributing many of millions of pounds a year. These are large sums of money – the size that do not merely pay for a nurse, but pay to build the hospital in which they work.
“These figures arguably make the case for the wealthy more effectively than many charitable foundations or other philanthropy these people do.
“The Tax List also raises the question of how our country fills the gap if Brexit – or a more hostile political environment – encourages the super-rich to quit the UK for Monaco, Switzerland or other low-tax bolt holes.”
Whilst we can’t influence the UK’s tax strategy, our experts at Beavis Morgan can ensure your tax affairs are as efficient as possible to fit your circumstances, and that you pay no more tax than you are legally bound to pay.
We offer many years’ experience in helping high net worth individuals maintain their capital value and manage their income levels, to assist in continuing to meet your lifestyle goals. Our tax specialists, some of whom are former HMRC Inspector of Taxes, proactively explore the intricacies of the tax legislation, making sure that all reliefs available to you are utilised and that your interests are safeguarded. We can also assist you with medium and longer-term financial planning to ensure that you, your family, and ultimately future generations of your family, will benefit from your wealth in accordance with your wishes.
For more information and to discuss your tax affairs in further detail, contact your usual Beavis Morgan Partner.