Child subject to Interest

northerntwo1

An extremely quick question

I recieved on Thursday my annual statement for my childrens accounts. They have been subject to tax (they are not due to pay this). It appears when the account was opened I did not complete the relevant form.

The Halifax now say I must take the issue of a refund up with HMRC, is this correct?

I opened their savings in branch and was not asked to complete a form from a 12 month memory.

xylophone

http://www.hmrc.gov.uk/tdsi/children.htm Read this first.
http://www.hmrc.gov.uk/forms/r40.pdf to claim tax repayment.
http://www.hmrc.gov.uk/forms/r85.pdf

northerntwo1

Many thanks - there is no issue re the amount (between 70 and 34 pounds, amount dependant per child) so this is valid.

I take it from your response that I

a) need to complete a form for next years interest and hand to Halifax

b) Need to reclaim the values from previous tax years from HMRC and not Halifax

final question - do they make the cheque for refund payable to them? This is their money and I'd prefer if given the choice that it was payable to them.

xylophone

a) yes - for each account
b)yes for each account
RD 40 notes here,http://www.hmrc.gov.uk/forms/r40notes.pdfand see repayment instructions on form.