A tax calculation is the process of working out how much tax you owe—or are owed—based on your income, allowances, reliefs, and the rates that apply. This can be done by HMRC, your employer, or yourself (if you file a Self Assessment return). It ensures you pay the correct amount, or receive a refund if you’ve overpaid.
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Tax Guide UK Editorial Team: Our team of financial writers, tax researchers, and editors is dedicated to making UK tax easier to understand — and easier to manage. Every article is thoroughly researched, regularly updated, and written in plain English to help you stay compliant and confident.View Author posts