Bonnie wee tax

KEY POINTS

• Mechanics of the Scottish income tax.
• HMRC will be responsible for administration.
• The rate applies only to earned and property income.
• Onus on employers.

The Calman Commission was established in 2008 with a remit that included reviewing the current model of Scottish devolution and recommending changes to improve the financial accountability of the Scottish Parliament.

Following its final report in 2009 the UK government indicated a commitment to implementing those recommendations.

The Scotland Bill which is the first legislative step in that implementation has now passed through the House of Commons and is presently at committee stage in the House of Lords.

If passed the bill will make changes to the financing of the Scottish Parliament at Holyrood including the creation of a Scottish rate of income tax....