Cash ISAs: The Best Currently Available List

Kim_13

2010 said:

pookey said:

2010 said:

pookey said:

Thank you all for your help. 


I'm trying to avoid going over my PSA so the flexibility of Chip is very appealing. 

Don`t asume you just get £1k PSA because it doesn`t work that way.
Other allowances have to be used first.

Hi which allowances please? 

£12,570, £5k and then the PSA of £1k.

Seems like a bit of a mess, but this is the way it is currently.

What happens if someone exceeds their Personal Allowance only because of interest counted against it? Are they taxed via PAYE and then it sorts itself out in the next payslip, or do they have to put in a reclaim?

Neither are ideal as someone in that scenario is obviously on a low income and with the system as it is, apparently expected to have the cash flow to wait for HMRC to apply the next allowance.

Potentially makes a flexible ISA very appealing to some to avoid the hassle, even with a slightly lower rate.

2010

If your income exceeds £18,570 then you pay tax on everything above that.
The savings interest is sent by the providers to HMRC in July/August and if you owe any tax you will get a P800 in October telling you how much you owe and your code will be adjusted the following April to claw it back.

flobbalobbalob

2010 said:

If your income exceeds £18,570 then you pay tax on everything above that.
The savings interest is sent by the providers to HMRC in July/August and if you owe any tax you will get a P800 in October telling you how much you owe and your code will be adjusted the following April to claw it back.

The £18,570 is based on a personal allowance of £12,750. However mine is lower because I have transferred my marriage allowance to my spouse so mine is £17, 320 . This is my first year in retirement and my tax code has been estimated on expected interest. This code is applied to only one of 2 very small company pensions. Even so I will still break my allowance barrier and get a bill after the end of the tax year as well. My spouse has a sole income of the state pension. No tax is deducted from that even though he breaks the allowance barrier, but he gets a bill from HMRC every year for the whole lot in one go.

pecunianonolet

10_66 said:

Relating to Chip Cash ISA; Does anyone know if you can operate two separate accounts on the same iPhone, please?  OH can't download the Chip app as phone doesn't have IOS16 (mine does)?  I've asked this on Chip's chat but not had a response yet.

There apps which allow you to create a clone of installed apps so would do some research on this. 

2010

flobbalobbalob said:

2010 said:

If your income exceeds £18,570 then you pay tax on everything above that.
The savings interest is sent by the providers to HMRC in July/August and if you owe any tax you will get a P800 in October telling you how much you owe and your code will be adjusted the following April to claw it back.

The £18,570 is based on a personal allowance of £12,750. However mine is lower because I have transferred my marriage allowance to my spouse so mine is £17, 320 . This is my first year in retirement and my tax code has been estimated on expected interest. This code is applied to only one of 2 very small company pensions. Even so I will still break my allowance barrier and get a bill after the end of the tax year as well. My spouse has a sole income of the state pension. No tax is deducted from that even though he breaks the allowance barrier, but he gets a bill from HMRC every year for the whole lot in one go.

What your spouse should do is work out thier savings interest and inform HMRC what their TOTAL income is for the year and then they will apply the full allowances.
If they have paid any tax in the last six years and they shouldn`t have, they can claim it back.
For more advice go to the tax board on the forum, this thread is about ISA.

Nick_C

2010 said:

If your income exceeds £18,570 then you pay tax on everything above that.
The savings interest is sent by the providers to HMRC in July/August and if you owe any tax you will get a P800 in October telling you how much you owe and your code will be adjusted the following April to claw it back.

Very misleading statement in isolation. 

My income exceeds £18570, but I dont pay tax on interest from non ISA savings as the interest is below £1000 a year.

I can also have up to £1000 of miscellaneous income which is covered by the trading allowance. 

2010

Nick_C said:

2010 said:

If your income exceeds £18,570 then you pay tax on everything above that.
The savings interest is sent by the providers to HMRC in July/August and if you owe any tax you will get a P800 in October telling you how much you owe and your code will be adjusted the following April to claw it back.

Very misleading statement in isolation. 

My income exceeds £18570, but I dont pay tax on interest from non ISA savings as the interest is below £1000 a year.

I can also have up to £1000 of miscellaneous income which is covered by the trading allowance. 

Wrong board it`s the tax board you need to post on.
Your obviously not on PAYE.

Nick_C

2010 said:

Nick_C said:

2010 said:

If your income exceeds £18,570 then you pay tax on everything above that.
The savings interest is sent by the providers to HMRC in July/August and if you owe any tax you will get a P800 in October telling you how much you owe and your code will be adjusted the following April to claw it back.

Very misleading statement in isolation. 

My income exceeds £18570, but I dont pay tax on interest from non ISA savings as the interest is below £1000 a year.

I can also have up to £1000 of miscellaneous income which is covered by the trading allowance. 

Wrong board it`s the tax board you need to post on.
Your obviously not on PAYE.

1)  I was responding to your post - which perhaps should be on the tax board.

2)  I am on PAYE.   

2010

Nick_C said:

2010 said:

Nick_C said:

2010 said:

If your income exceeds £18,570 then you pay tax on everything above that.
The savings interest is sent by the providers to HMRC in July/August and if you owe any tax you will get a P800 in October telling you how much you owe and your code will be adjusted the following April to claw it back.

Very misleading statement in isolation. 

My income exceeds £18570, but I dont pay tax on interest from non ISA savings as the interest is below £1000 a year.

I can also have up to £1000 of miscellaneous income which is covered by the trading allowance. 

Wrong board it`s the tax board you need to post on.
Your obviously not on PAYE.

1)  I was responding to your post - which perhaps should be on the tax board.

2)  I am on PAYE.   

If you want to be helpful and help others on this matter maybe you should elaborate on how you earn above £18,570 and still avoid tax on savings interest.

ColdIron

2010 said:

Nick_C said:

2010 said:

Nick_C said:

2010 said:

If your income exceeds £18,570 then you pay tax on everything above that.
The savings interest is sent by the providers to HMRC in July/August and if you owe any tax you will get a P800 in October telling you how much you owe and your code will be adjusted the following April to claw it back.

Very misleading statement in isolation. 

My income exceeds £18570, but I dont pay tax on interest from non ISA savings as the interest is below £1000 a year.

I can also have up to £1000 of miscellaneous income which is covered by the trading allowance. 

Wrong board it`s the tax board you need to post on.
Your obviously not on PAYE.

1)  I was responding to your post - which perhaps should be on the tax board.

2)  I am on PAYE.   

If you want to be helpful and help others on this matter maybe you should elaborate on how you earn above £18,570 and still avoid tax on savings interest.

The Personal Savings Allowance