Tax on Joint Bank Account Interest

splatt30

I am a higher rate tax payer.
My husband is self employed part time and his income doesn't reach the personal allowance.

Is there anyway to write all interest earned on our joint account over to him in order to reduced the tax burden?

molerat

No. You are liable for the tax on your half of the interest. The only way is through individual accounts.

Keep_pedalling

molerat wrote: »

No. You are liable for the tax on your half of the interest. The only way is through individual accounts.

Come the new financial year the first £1000 if interest earned by your husband will be tax free, and as a higher tax payer the first £500 for you. If your interest is below that then it is probably not worth doing as you have such a short period in which to save a very small amount of tax.