MSE News: Budget'15: Savers to get up to £1k personal allowance before interest taxed

Reaper

I like the idea of "real time". I would like to add tax info as I receive it not file it away then sort it out later. So I get a P60 from work and type the figures straight in. I get an annual statement from the building society and type in the interest earned.

Then the end of tax year task simply becomes one of scanning down and double checking I haven't missed anything.

ipri

Does the £1000 tax free interest apply to total savings or to each account?

CLAPTON

presumably all savings accounts will need a NI number so the interest can be linked to the right CLAPTON

Ed-1

ipri wrote: »

Does the £1000 tax free interest apply to total savings or to each account?

It applies to total non-ISA savings interest.

Gers

The BBC site has it that this will only come into operation if the Tories win the election. Not quite what I was expecting.

http://www.bbc.co.uk/news/uk-politics-31929772

jimjames

Gers wrote: »

The BBC site has it that this will only come into operation if the Tories win the election. Not quite what I was expecting.

http://www.bbc.co.uk/news/uk-politics-31929772

Not sure why that's unexpected. It needs to be passed by parliament so would be dependent on who forms the next government but does focus minds on who that might be.

Castle

Would the interest have to be declared for tax credits?

jamesd

Castle wrote: »

Would the interest have to be declared for tax credits?

I don't know but the banks and building societies are going to be required to report the amounts to HMRC as part of the tax return simplification so it's just a question of whether HMRC uses that information automatically or makes you tell them yourself. They already do tell HMRC but the other work may make it easier for them to notice more quickly.

badger09

colsten wrote: »

I have been doing my self assessments online for a decade with no problems. You should try it, it's basically as easy as using the MSE forum.



Surely nobody who is likely to have to do a tax return and/or use the new tax accounts will have access to the internet somehow? If not at home, then at work, in a library, at family and friends? Or even their accountant.

everybody?

finally_retired

How will this impact on the new rules coming into force this April 2015 regarding the 0% tax on first £5000 of savings if your total income is less than your personal allowance plus £5000?