HMRC publishes statistics relating to Income Tax deducted from pay for 2017-2018

28 November 2019

HMRC has released a publication to show the distribution of Income Tax by industry for tax year 2017-2018 which is then compared to the same figures from the previous year to identify any increases, decreases and general trends.

The sectors that contributed the most in Income Tax for 2017-18 were Financial and Insurance Activities, who accounted for 16.9%, Professional, Scientific and Technical Activities, who contributed 12.3%, and Wholesale and Retail Trade; Repair of Motor Vehicles and Motorcycles who came in as the third-highest contributor at 10.6%. The document states that this does not differ dramatically from the findings for the previous year – 2016-17.

Income tax contributions from some industries did fluctuate between 2016-17 and 2017-18. Information and Communication, Human Health and Social Work Activities, Administrative and Support Service Activities and Wholesale and Retail Trade; Repair of Motor Vehicles and Motorcycles saw the largest increase in Income Tax contribution from one year to the next. Financial and Insurance Activities (despite contributing the highest percentage in total), Education and Manufacturing saw the biggest decrease in Income Tax contributions from 2016-17 compared with those from 2017-18.

The data used within this research is derived from a one per cent sample of an HMRC departmental administrative source. The document explains how up until tax year 2013-2014 the data relating to Income Tax deducted from pay was extracted from form P14s that were submitted to HMRC by employers at tax year-end.  From 2014-15, the data has been taken from RTI PAYE end of year summary information, so the figures include information taken from both sources.

There is a cautionary note that some tax on pay can relate to occupational pensions and so the published figures may include minimal amounts of tax on occupational pensions as this cannot always be separated out.

 


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