>>>>>Our tax is payed via PAYE (Pay as you earn). Your salary is known, then the tax-free part is put aside, then the tax on the remainder is split into 12 equal parts, and that is deducted each month. No filing - that's just for self-employed people.
>>>>>
>>>>Do you mean that salaried folks don't file tax returns? What are they doing if they have external income (banking interest, capital gains etc.)?
>>>
>>>D'you know? I've never thought of that. When I was self-employed, I had to declare all that. Ah, I think that dividends from investments, and all that, have tax deducted at source, i.e. if your bank gives you interest for a savings acc, then Uncle Sam's already had his cut - you get it net.
>>>
>>Uncle Sam doesn't do it for sure. Also, if tax rate is progressive then how banks/brokerages may know how much to withhold?

Then they'll have kept abreast of the fluctuating rates, I expect, and include it all in.

>
>I think Terrys wrong there. If you tax affairs are at all complicated the Inladn Revenue will ask you to complete a return. If you are PAYE(Pay as You Earn) but neglect to mention whats called unearned income(stocks sale of goods capital gains etc) then you might get investigated.

Well I have unearned income, and I needed to declare it when I was self-emp. But the org's send you a certificate of tax deducted (or taxable income - that's when you may need to declare) for the fiscal year "good" for tax return purposes, that the accountant would check was OK before filing. Now, since the IR released me from having to file any more, they didn't include a caveat "but you must file for those investments anyway".

In short - I just don't know, but I'm at least 60% correct here.

>
>Nick