Icesave/KE savers....the taxman cometh....mine eyes have seen the coming of the taxma

paranoid-taxpayer

Was celebrating the return of my savings.....sitting in my open rea rporch.....on my favourite rocking chair, having consumed about half a bottle of scotch, when I saw Hector, the cartoon character tax collector. He was shuffling gently towards me. Now and again, he would raise his arm and point at me. As he kept coming towards me, I continued sipping the scotch. He took off his bowler hat, held it out, mumbling your contribution is needed. Now I have been scared of bowler hats since childhood. In our neighbourhood, bowler hatted bailiffs were a regular sight, and almost everyone had been visited by one, several times. This fear of bowler hats reached new heights at the sight of Oddjob using his bowler hat to decapitate a human being. I lost nerve and flung my glass of scotch at Hector, who got drenched in the stuff and fell. As he fell he called for assistance on his mobile. I continued drinking the scotch, neat and straight from the bottle, a bad move as neat scotch goes straight to my head. Shortly, I saw a real life tax character, swooping down from the sky. He was wearing a jet backpack. He landed in the garden, he was jumping up and down on a pogostic, gradually zigzagging towards me. I was really scared at the appearance of this taxman. When he got closer, I remembered the slogan "Tax is not taxing", and I shouted it out. He was taken aback, and decided to retreat, taking with him, his whiskey sodden colleague. The pair of them took off with the help of the jetpack, and vanished into the sky. Hector was pointing his finger at me, shouting "I'll be back". At this point I lost consciousness and fell into a deep sleep. When I woke up several hours later, I started wondering about tax liabilities from the Kaupthing Edge and Icesave payouts. Whereas tax has been deducted by both institutions, I somehow doubt if they have handed it over to HMRC. I have wondered about this, and it is possible that the taxman can demand it from me. I am no tax expert. Can someone knowledgeable about these matters please clarify the position.

Tony_Webster

Put the Scotch down and move slowly towards the exit.......

Paul_Herring

Tax will be deducted by the FSCS/ING whichever gives you your money, not IceSave/KE.

There will be no tax liability, unless you somehow get the tax gross.

dag_2

Yeah, I guess it's the same with anything where tax is deducted at source. If you had a job where tax was deducted from your wages by the PAYE system, and then the employer went bust and the HMRC never actually received the payment, it shouldn't matter to you, because you will still be credited with having paid that tax. A similar thing goes for share divvies and savings interest.

However, it's a good idea to hang on to your tax documents, just in case you need to prove that you've paid it, and the organisation that made the deduction have lost their records.

If you have to fill in a self-assessment form, you can quite legitimately treat any tax that has been deducted at source as being tax that you have already paid. You do not need to find out whether the organisation that made the deduction has paid the HMRC, and you do not need to chase them to make that payment if they haven't paid it already.

amistupid

paranoid-taxpayer wrote: »

He took off his bowler hat, held it out, mumbling your contribution is needed.

It wasn't the tax man. It was of them old blokes who worked for Bradford and Bingley - times are hard you know!