What are Taxable earnings?

Taxable earnings is the sum which will be payed as tax after the annual income has been calculated. The taxable earnings are calculated by subtracting from the income the reliefs and allowances what a person might be getting lawfully. It's considered as relief when the person contributes to the pension fund or donates to charity.

As allowances are made out of personal allowances and married couple allowances which are for the couples where on of the spouses is 65 or older. So if a person has an annual income of £30.000 and he has paid a total of £3.000 the he would be paying taxes on his £27.000 income.