Tax and deductions

The tax that is deducted from your gross pay is called?

• Income tax

• Insurance tax

• Inheritance tax

• Incompetent tax

National Insurance contributions pay for what?

• State pensions

• Private pensions

• Teacher pensions

• Not pensions

The highest tax bracket is called . . .

• Additional

• Higher

• Basic

• Zero

Employers have to issue a pay statement to their workers.

• True

• False

The government collects taxes to pay for . . .

• public services like the NHS, schools, emergency services and defence.

• Blue water shopping centres.

• Holidays for hardworking teachers.

• private services like dentists and plastic surgeons.

The personal allowance that you earn before you have to pay tax is

• £12,500

• £37,500

• £150,000

National Insurance contributions are set at

• 12%

• 20%

• 40%

• 45%

A person earning £151,001 would pay in the additional tax bracket

• True

• False