The majority of fiscal powers are currently reserved to the UK Government. Consequently, most of the tax law which applies in Scotland is UK law. HM Revenue & Customs (HMRC) collects and administers UK taxes.
Certain tax raising powers have been devolved to the Scottish Parliament and there are at present two operational Scottish taxes – Land & Buildings Transaction Tax (LBTT) and Scottish Landfill Tax. In addition, Scotland has been granted power to implement its own air passenger duty.