Santander - can't pay interest gross

Repeat3Times

hermante wrote: »

You should get any tax deducted (in the same tax year) back instantly, or if not, it should be refunded with the next interest payment. When I registered my esaver 4 months after opening, it suddenly had a lot of extra transactions showing the tax refunded for each month.

Thanks for this, hermante. With no knowledge of the online tick box to register for gross interest, my mum took a completed r85 form to her local branch over a month ago, where staff accepted it and said they would send it on. Plenty of time, I thought, for the full interest to be paid into her eSaver 4 account without deductions this month. Guess what...

Did you get your current year tax reimbursed simply by ticking the online box? I was thinking that it my be more productive to get my mum to call to get this done?

Nice_One,_Centurion

The online tickbox seems a far easier way than giving forms to branch staff who don't understand what you're talking about. The tickbox worked for me.

datostar

I recently opened a 123 Current Account (online) and contained in a big red folder which arrived in the post, along with a lot of other stuff, was a blank R85 form and explanatory leaflet. Unfortunately I can't use it but they're obviously catering for interest to be paid gross.

mellwaters100

Just wanted to provide a quick update (as I found this thread useful when trying to get Santander to stop taxing my 13 year old daughters account).

The online banking process described in this thread works for an 11-15 Account (childs account) as well.

Since the thread was originally written, Santander must have read the thread and now updated the settings section to include the relevant statement. It confirms that you are stating you are not going to pay tax and your responsibility to "deregister" should circumstances change.

Still, though, all online literature points you to the R85. However, confusingly, it doesn't tell you what to do with the form. But first, you have to download it from HMRC. That form then says "send it to your bank". Have you tried finding the right address to use?!

You well, thank goodness for MSE'ers! Got this setup online in minutes - just how it should be!!

vigman

New 123 account setup for my non-taxpaying wife and waiting for the correspondence.

So to clarify, do you send a completed R85 and to what address for Santander, please?

If not, is this choice in online banking?

TIA

Vigman

bryanb

Yes, a choice in internet banking.

mgdavid

vigman wrote: »

........
If not, is this choice in online banking?
...........

Please read the (short) thread, especially post #14.

Be_Happy

On the subject of gross interest, was there a new allowance for people earning under £15000 to have their interest up to a certain amount paid gross next tax year.

I've not heard much about this and wonder if it was something discussed, but never actioned.

If it was decided, can anyone explain the conditions.

Archi_Bald

I think you are referring to the 10% tax rate on savings which will be abolished in April 2015, alongside an increase of the tax free amount: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/293747/Fact_sheet_template_-_10__tax_9.pdf

B_G_B

Be_Happy wrote: »

On the subject of gross interest, was there a new allowance for people earning under £15000 to have their interest up to a certain amount paid gross next tax year.

I've not heard much about this and wonder if it was something discussed, but never actioned.

If it was decided, can anyone explain the conditions.

You my find these links of use.

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/293747/Fact_sheet_template_-_10__tax_9.pdf

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/293961/8073_The_starting_rate_of_tax_on_savings_Budget_2014_Final_v1.0.pdf