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Your tax filing confuses me. In the UK normally the only people that have to do tax returns are self employed or people that own a business. The number of people though I keep hearing about filing their tax returns I keep thinking surely they don't all own their own businesses or do self employed jobs.

In the UK I do know some people who do fill in a return if they believe there is something they should have claimed for in the year but didn't but then unless their circumstances changes they would not need to file another one the following year because their tax code would be altered and the correct deductions would be made from their pay.

Is your system the same or is it different? I get the impression rightly or wrongly that some of your tax is deducted/paid as you go but some is collected at the end of the year can someone explain to a confused English person? Thanks.

We have INCOME tax, not value added tax.

Anyone with an earned income...ALL wage earners must file if they make over say $7000 single or $15,000 married (U.S. dollars).

We are trying hard to change this, but the Democrats are fighting us, as they like having their hand in everyone's pocket.