Originally Posted by Texas Proud
Interesting... this is just what the UK does... if you don't make a lot, they figure out your taxes... but (and don't quote me on this as I am not sure)... I don't think they tax capital gains and some other things we tax... so it is much easier for them to do... I think the cutoff was in the 40K pound range... someone from the UK??
The UK taxes capital gains, but they have an annual exemption amount for cap gains of 8800 GBP (this year) so many people don't have to pay cap gains tax b/c of that.
I do agree their system seems eaiser for the wage earner. There isn't a W-4 type form. The government tells the company how much to withhold and it's almost always spot on. However, if you're self-employed, have two jobs, investment income, or due a refund you still have to self-assess (file a tax form).