11. Taxation and Regulation
Personal Tax — Quiz
Test your understanding of personal tax with 5 practice questions.
Practice Questions
Question 1
Which of the following types of income is subject to UK income tax for a sole trader?
Question 2
An employee earns a gross annual salary of $\text{\pounds}48,000$. They contribute $\text{\pounds}3,000$ to a charitable donation under Gift Aid. Their Personal Allowance is $\text{\pounds}12,570$. What is their taxable income for the 2024/2025 tax year?
Question 3
For the 2024/2025 tax year, at what income threshold does the UK basic Personal Allowance begin to be reduced?
Question 4
A self-employed individual has annual profits of $\text{\pounds}27,000$ for the 2024/2025 tax year. They have no other income. Their Personal Allowance is $\text{\pounds}12,570$. What is their total income tax liability at the basic rate of $20\%$?
Question 5
Which of the following best describes how Class 2 National Insurance Contributions (NICs) are calculated for self-employed individuals in the UK for the 2024/2025 tax year?