was cut to 45% for 2013–14; this was followed by an increase in the tax paid by additional rate taxpayers from £38 billion to £46 billion. Chancellor George Osborne claimed that the lower, more competitive tax rate had caused the increase. In September 2022 the government announced that from April 2023 the top rate of tax would be reduced from 45% to 40% and the basic rate reduced from 20% to 19%. The abolition of the 45% additional rate of tax was subsequently cancelled through measures set out in the 2022's Autumn statement. Business rates were introduced in England and Wales in 1990 and are a modernised version of a system of rating that dates back to the Elizabethan Poor Law of 1601. As such, business rates retain many previous features from, and follow some case law of, older forms of rating. The Finance Act 2004 introduced an income tax regime known as "pre-owned asset tax" which aims to reduce the use of common methods of inheritance tax avoidance. Overview Income tax forms the single largest source of revenues collected by the government. The second largest source of government revenue is National Insurance Contributions. The third largest source of government revenues is value added tax (VAT), and the fourth-largest is corporation tax. Residence and domicile United Kingdom source income is generally subject to UK taxation whatever the citizenship and place of residence of an individual, or the place of registration of a company. This means that the UK income tax liability of an individual who is neither resident nor ordinarily resident in the United Kingdom is limited to any tax deducted at source on UK income, together with tax on income from a trade or profession carried on through a permanent establishment in the UK and tax on rental income from UK real estate. People who are both resident and domiciled in the United Kingdom are additionally liable to taxation on their worldwide income and gains. For people resident but not domiciled in the United Kingdom (referred to as "non-domiciled", or "non-dom"), foreign income and gains have historically been taxed on the remittance basis, that is to say, only income and gains remitted to the United Kingdom are taxed (for such people the United Kingdom is sometimes called a tax haven). From 6 April 2008, a long-term non-dom (defined as resident in 7 of the previous 9 years) wishing to