Income Tax and National Insurance in Scotland

We all contribute tax to make our communities in Scotland better. Free healthcare, sick leave and more means it’s worth it.

tax form with pen tip

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.

Income tax

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. If you are self-employed, you must register with HM Revenue and Customs to ensure you pay the correct amount of tax at the right time.

National insurance

National insurance (NI) tax helps pay for social security benefits such as free healthcare, sick and maternity pay. The amount of NI you pay depends on how much you earn and whether you work for a company or are self-employed.

After you arrive in Scotland, you need to apply for an NI number from the HM Revenue and Customs (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.