reclaim tax on interest for non-resident

hermante

Hi everyone

I'm in the UK on a student visa and I decided to open a high interest bond with HSBC with whom I also have a student account (and some others). For all my older accounts I have an R105 with them and they pay the interest gross but sometime in the past few months they decided to not accept the R105 on new accounts. So I will be getting net interest for this bond, which is still better than the 1% on savings at this moment.

Does anyone know whether / how I can claim the tax deducted back from the HMRC? or even better anyone tried it?

Thanks

Reaper

I think you need to fill in an R40 at the end of the tax year to claim back tax paid on the interest. The form and notes can be found here.

Your other option to get interest paid gross is form R85 on the basis that you don't earn enough in the UK to pay tax, however I'm not sure that it works if you declare yourself a foreign national for tax purposes. You'll have to read up on it.