halifax £5 reward TAX PLEASE!

ashley5

My wife has an account with Halifax that pays £5 reward every month,£60 per year which is taxed at the end of the year as income.But my wife doesnt pay tax as she never reaches her personel tax allowence,its only a small amount of tax but in principle she shouldnt be paying it nor the 1000s of others in similar sircumstance.Is it something that can be sorted in branch or is a complicated procedure via hmrc?

NeverInDebt

http://www.hmrc.gov.uk/taxon/bank.htm


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Reclaiming or paying extra tax on savings interest

peanuts92

ashley5 wrote: »

My wife has an account with Halifax that pays £5 reward every month,£60 per year which is taxed at the end of the year as income.But my wife doesnt pay tax as she never reaches her personel tax allowence,its only a small amount of tax but in principle she shouldnt be paying it nor the 1000s of others in similar sircumstance.Is it something that can be sorted in branch or is a complicated procedure via hmrc?

Hi,

I'm in a similar situation too, have reward account (well two actually ) but don't pay any tax. In this case i'm eligible for £6.25 a month. But the problem is you can't sort this out through Halifax as i found out, but you have to claim the interest back at the end of the tax year (or anytime really). You fill out an R40 form from HMRC and send it off to them. I've just printed one off recently and am in the process of filling it in.

Good luck