Taxes in Scotland

When you live and work in Scotland, you must legally pay certain taxes on your property and income. Find out more and how to register to do this.

Council Tax

Council tax

When you rent or buy a property in Scotland, you must pay council tax. It goes towards important public services like street lighting, household waste collection and water charges.

Generally council tax rates in Scotland are lower than in other parts of the UK. The cost varies and is based on the value of the property you rent or buy and the council tax category (band) your property is placed in.

Registering for council tax

After you move, contact your local council for your area to register to pay your council tax.

Income tax and national insurance

Everyone who works in Scotland pays tax from their earnings for the public services provided by the government. In the most cases, your employer automatically deducts personal income tax and national insurance (NI) from your weekly or monthly salary.

The amount of NI you pay depends on how much you earn and whether you work for a company or are self-employed.

The amount of income tax that you pay depends on how much you earn in one year. However, you will be taxed at same rate as someone from the UK. All EU countries have agreements to ensure people are not taxed twice on the same income.

After you arrive in Scotland, contact the nearest HM Revenue and Customs (HMRC) office to let them know you are working for a company in Scotland. You also need to apply for an NI number from the HMRC. It will be used as a unique reference for your UK tax and NI contributions. Once you have your number, you must also give it to your employer.