Income tax in the UK is progressive, just like in Australia. Capital gains tax rates differ from income tax rates, ranging from 10% to 28% depending on the individual's income and the type of asset. The UK operates a system of tax credits on dividends, which can reduce the amount of tax shareholders pay on dividend income.  The value-added tax (VAT) is charged at a standard rate of 20% on most goods and services. Reduced rates of 5% or 0% apply to some items, such as children’s car seats, home energy, and most food and children’s clothing. UK property taxes include stamp duty land tax (SDLT) in England and Northern Ireland, land and buildings transaction tax (LBTT) in Scotland, and land transaction tax (LTT) in Wales. Additionally, the UK levies a council tax based on property value and location.