Prince William revealed as one of Britain's largest taxpayers amid £7m bill – report

The Prince of Wales has been named one of Britain's top taxpayers in a new report. According to The Sunday Times, Prince William, 43, pays up to £7 million in income tax a year, putting the royal in the top 0.002 per cent of taxpayers in the UK. 

The newspaper also reports that the majority of William's income comes from the £20 million-plus a year he receives from the Duchy of Cornwall, a private land estate worth approximately £1.1 billion, inherited by every heir to the throne since the 14th century.

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Does William have to pay income tax?  

Under a 2013 agreement between the late Queen Elizabeth and the Treasury, the monarch, meaning King Charles now, is not legally liable to pay income tax, capital gains tax or inheritance tax. His son is also not legally liable to pay income tax on money received from the duchy, but both royals have always paid income and capital gains tax voluntarily.

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The Sunday Times notes that Prince William is allowed to deduct official expenditure from his duchy income before calculating his tax bill. The kind of expenses William files as tax deductions from his duchy income has not been declared publicly.

Do royals usually declare their tax bill?

However, the declaration of any tax figure by a senior royal marks a shift, as Queen Elizabeth II never disclosed her tax bill. 

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William is following the lead of his father, who voluntarily declared an income tax payment of £5.9 million in relation to the £23 million that he received from the duchy in the 2021-22 financial year during his time as Prince of Wales.

Does Prince William own his home?

Not included in William's personal possession is his home with the Princess of Wales and their three children – Prince George, 12, Princess Charlotte, 11, and Prince Louis, eight. Forest Lodge on the Windsor Replica Luxury Handbag Park estate is owned by the Crown Estate, overseen by King Charles.

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The couple pay market rent for the property, though the amount is not in the public domain. In 2001, Forest Lodge underwent £1.5 million restoration works and was put on the rental market for £15,000 a month. 

The Georgian mansion is a sizeable upgrade from their previous Adelaide Cottage abode. Forest Lodge features eight bedrooms, and they have full use of the property as they do not have any live-in staff there.