PPI repayment

LYNCH

Hi guys

This is my first time posting & am just after a bit of advice. I filled in your PPI claim form & sent it to my loan issuer (HSBC).

This morning, a lovely letter arrived telling me i'd be recieving just over £6k back!

Firstly, THANK YOU to everyone involved here. THANK YOU!!!

One thing that was mentioned in the letter, though which i'm very unsure of is a tax question. It states: Subject to your personal tax status, this may be taxable & should be included in your tax return. This was a personal loan, not a business loan, so i'm a little unsure as to whether it is taxable. If it is, according to their breakdown in the acceptance of offer form, i'd be losing a third of that amount to HMRC!

Any & all help greatly appreciated!

Thanks

R_P_W

i THINK that it might be referring to the interest element. when i got my PPI returned the bank paid a level of interest on the amount (8% u think). So depending on your cirmstances that part may be subject to tax?

LYNCH

Thanks for that- now i've read it over, it makes much more sense!

How will I know whether my 'circumstances' mean i'll have to pay?

I'm self-employed, if that helps?

Thanks

jonesMUFCforever

Some letters I have seen are paying 'net' of tax refunds.
Have a close look at the letter.
Either way be sure to keep the letter safely for a minimum of 6 years in case the tax man cometh calling.