Tax on Interest - Can I request retrospectively when wanting bank not to charge tax

andyuk2005

Hi all,

I know there are plans coming in where Banks won't be charging tax on interest for all customers.

There is a chance that my mum has been under her personal limit for a while (back into 2015) for being liable for tax on her savings.

I was wondering if she can contact her bank and apply to have all interest paid to her tax free, but have it applied retrospectively so she can claim back the tax which she shouldn't have been paid by the bank.

Many thanks for any answers!
Andy

le_loup

Try an R85.
If no an R40

andyuk2005

Yep I understand there are those forms which should be filled out to ensure that no tax is paid on the interest earned. My question is can the tax be claimed back via the banks on tax which was collected for the months/years previously?

masonic

andyuk2005 wrote: »

My question is can the tax be claimed back via the banks on tax which was collected for the months/years previously?

R40 is for reclaiming overpaid tax on interest.

YorkshireBoy

An R85 (submitted to the bank) is for the current tax year, if the bank will accept it several months after the account was opened.

An R40 (submitted to HMRC) is for previous tax years (up to 6 or so?), or for the current tax year AFTER IT ENDS if the bank won't play ball with a late R85 submission.

You say you're aware of the forms, but have you actually looked at them and read their associated guidance notes? I'm guessing not. Examples on the HMRC website.

le_loup

andyuk2005 wrote: »

Yep I understand there are those forms which should be filled out to ensure that no tax is paid on the interest earned. My question is can the tax be claimed back via the banks on tax which was collected for the months/years previously?

That's why I suggested an R85
If that doesn't work try an R40.
Do you want me to take you to your bank holding your hand or are you capable of taking suggestions and trying them yourself.
I ask merely for interest.

colsten

Could always try

veryintrigued

Tescos Bank are one of around 30 institutions we sent the R85 on earlier this year and the only one that would not refund the tax on completed months (in this case only April).

Its only a few pounds but I'll be submitting an R40 anyway.

andyuk2005

masonic wrote: »

R40 is for reclaiming overpaid tax on interest.

Ah right, thanks for pointing that out, I was a bit short and just assumed the short reply earlier from the other person wasn't the form I needed to look at! Thanks for clearing that up for me!

andyuk2005

YorkshireBoy wrote: »

An R85 (submitted to the bank) is for the current tax year, if the bank will accept it several months after the account was opened.

An R40 (submitted to HMRC) is for previous tax years (up to 6 or so?), or for the current tax year AFTER IT ENDS if the bank won't play ball with a late R85 submission.

You say you're aware of the forms, but have you actually looked at them and read their associated guidance notes? I'm guessing not. Examples on the HMRC website.

Thanks for the more thorough reply than the first person. I can see you were more detailed in exactly what the forms were. Whereas anyone can do a google search my thoughts are that there may be other people who would be looking for the same information I was and this would be a good forum to share that information. I wonder if that makes things clearer to you why my answer was short earlier, 'I'm guessing not'!

andyuk2005

le_loup wrote: »

That's why I suggested an R85
If that doesn't work try an R40.
Do you want me to take you to your bank holding your hand or are you capable of taking suggestions and trying them yourself.
I ask merely for interest.

Yes if you could please take my mother by her hand to the bank as she suffers from a number of debilitating disabilities and is not capable of leaving the house on her own, then that would be very much appreciated. You see when you suffer from both serious mental and physical ailments, people require extra assistance, sometimes they call out for the help of others, maybe like asking a simple question on a forum somewhere. Alas, sarcastic and unhelpful replies are part of what they get in response which is a sad state don't you think? I ask merely for interest.