Image source, Getty ImagesByMitchell LabiakBusiness reporterPublished27 June 2026 King Charles has made history by revealing his £12.9m tax bill, but the payment is far from ordinary. The announcement comes alongside the Royal Household publishing its annual financial report. Here's what the document tells us – and doesn't tell us – about the King's unique tax situation. King Charles is not legally required to pay income tax, capital gains tax, or inheritance tax. Instead, he voluntarily pays some income tax, capital gains tax, and inheritance tax according to an agreement with the government called the Memorandum of Understanding (MoU) The MoU came about in 1993 following public pressure over the cost of running the Royal Family and is occasionally updated, most recently in 2023 to reflect the change of monarch following Queen Elizabeth II's death. The fact that some of the King's taxes are voluntary is not the case for regular taxpayers, and some argue this means that it is not a tax at all.
Published: June 26, 2026 11:00 pm
Source: BBC — Read original