Claim tax from interest?

suffolkb

I have been out of work since Jan. Just noticed that the interest on my savings account has been paid in and I`ve paid £25 in tax.
Can I claim this £25 back or is it too late now?

oldwiring

Form is R85; see this link where there is an actual form
http://www.hmrc.gov.uk/forms/r85.pdf#search=%22hmrc%20%2B%20gross%20interest%22

You need form R40 to make a reclaim.
There is a link to how to reclaim tax at
http://www.hmrc.gov.uk/taxback/claiming-back.htm

Merrett1

You may not have a refund due as you have worked up until January of last year and therefore it could be the case that you have used up your personal allowance and starting rate tax band for that tax year. If this is the case then the tax taken on your bank interest is correct and no refund will be due.

If you roughly earnt more than £7,000 between April and January last year you have no refund.

Sorry!

Mikeyorks

Merrett1 wrote:

You may not have a refund due as you have worked up until January of last year and therefore it could be the case that you have used up your personal allowance and starting rate tax band for that tax year.

I read the OP ('just noticed') to the effect the interest applies to 2006-07 ... and he last worked in 2005-06 (y/e 5th Apr 06). In which case a refund, in full, is likely due.

But I would (post #3) go the R40 route? Only file the R85 if you know you will continue to be off work beyond next Apr - as you have to countermand the R85 once you start earning above the PAYE threshold again.

EDIT

Better thought. If the interest does apply to 2006-07 then some Societies / Banks will recredit your interest within the tax year if you complete an R85 - and save you claiming it back from HMRC on an R40? Somewhere tucked away on the HMRC site is a list of Societies / Banks that do this - but can't find it at the moment. So the best way is to ask your provider if they do this - and file an R85 for this year if you aren't going to earn above the limit (typically £5035) in this year?
But don't forget to countermand the R85 with your provider once you get into taxable limits again.
data here :- http://www.hmrc.gov.uk/taxback/question14.htm

suffolkb

Thanks for the replies.The interest is for the period 1/10/05 to 30/9/06,and was paid this week.This tax year (06/07) I have been unemployed.Nothing on the horizon,but even if I get any of the jobs I`ve applied for,I will not earn £5000 in the tax year.
I will go and see A&L today and complete form R85.