[DrDavid]

Who would the Queen pay taxes to? Herself? Her Government? But that is just the same...

[goldstategop]

Yes. I imagine the Queen of Canada is exempt from inheritance taxes due in that country as well.

[B-Chan]

Who would the Queen pay taxes to? Herself? Her Government? But that is just the same...

Would that it were! The Queen and Her Majesty's Government are not identical. HM the Queen reigns over England, but she does not rule; Parliament does that.

Unfortunately.

[Slainte]

But the Queen is only the head of state. The Prime Minister is the head of the government. A subtle, but important distinction as her position is entirely ceremonial now, much like the Vice President.

In any case, her taxes would go to the Exchequer, just like Tony Blair's do. The Queen can't just walk over to the Treasury and grab a pocketful of tenners whenever she feels the urge to go and grab a pint.