Quizzes & Puzzles8 mins ago
Should I pay tax on savings ?
2 Answers
Hi, I have been unemployed since August 2006 and do not claim any benefits or earn any money ! Can I receive Gross Interest on my savings. (Not retirement age- in my50's)
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For more on marking an answer as the "Best Answer", please visit our FAQ.Yes you can - you will need to sign a form for the banks and building societies that you have accounts with. Do it ASAP.
You can download the form (R85) here - one for each account:
http://www.direct.gov.uk/en/MoneyTaxAndBenefit s/Taxes/ReclaimingTax/DG_10026651
You can download the form (R85) here - one for each account:
http://www.direct.gov.uk/en/MoneyTaxAndBenefit s/Taxes/ReclaimingTax/DG_10026651
Ethel's right, but you must be sure that your gross income is under the personal allowance (�5225 this year). If it's over, then it's illegal to register to have interest paid gross - even if you judge it so that you still pay just the right amount! Silly, I know, but that's the rule. You can reclaim any excess tax you've paid at the end of the year!