Can I claim tax rebate ?

zogg

I am retired with no income. My wife works 24 hrs per week at £6 per hour. Joint acc in B.S. with proceeds of house sale in acc. Tax taken from interest on this acc Apr 2008-2009 : £1392. (gross £6963) Bearing in mind I am a non earner can I claim some of this back ? Hope you understand what I mean ? Thank you.

jem16

Joint interest will be seen as half each so yes you should claim back your half. Contact HMRC.

zogg

Thank you Jem16, Would my wife get any rebate if she applied on her own ? I realise I should have put the cash in my own name to maximise the tax return........ Oh well..

fengirl_2

No, your wife cannot claim as she is already liable to tax on her earnings. Not too late to transfer some money to an account in your name so that you get the benefit this year.

zogg

Thank you Fengirl

trevormax

I think your wife will be able to claim some of the tax back for her half. Assuming your wife earned £7,488 in 08-09 (24 hours x £6 x 52), she would still have part of the 10% available for people with income from savings and I believe she can claim £86.70.

income from work 7,488 less PA 6035 = 1,453.

10 savings band is £2320

10% band of 2320 minus the 1,453 = 867 unused 10% rate.

All of your wifes share of the b.s interest will have been taxed at 20%, however £867 should have been taxed at 10%.

Refund = 867 at 10% = 86.7.

This is all based on youe wife having a normal 6035 tax code and her only income being the money from her job and the b.s interest. If her tax code or income is higher or lower it will affect how much of a repayment she is due.

zogg

Thank you Trevormax, will give it a go.