Claiming Tax back on savings interest

bmouthboyo

My wife and I have had a Santander 123 account each since about September 2014. We pay in each month as we are currently expats working abroad.

I noticed that each month we are taxed on the interest, I presume as if we was working in the UK?

I have added these up and we have paid £197.85 since September 2014.

As we do not earn our salary in the UK so under the tax threshold and we are considered non domicile, are we entitled to claim this tax back?

If so when would be best, now before the end of the tax year or can we do it whenever? Is the process complicated?

Thanks

xylophone

https://www.gov.uk/tax-uk-income-live-abroad/overview

From 6 April, UK banks and building societies will be paying interest gross.

http://paullewismoney.blogspot.co.uk/2015/03/savings-revolution.html

bmouthboyo

Sorry I am still a little confused.

In the UK we earn less than our threshold, so am I right in thinking we should not have to pay tax on savings interest?

Does that mean I should complete the R43?

Santander 123 was opened when we were in the UK so met there eligibility criteria however as we are now abroad I would prefer to claim the tax from the Govt than let Santander know I am now non dom.

Do I just contact HMRC and inform them we wish to have our tax paid back or do we need to complete forms to inform them how much it is?

skid112

Part of the terms and conditions of the 123 account are to live in the UK permanently

bmouthboyo

Yea but we decided to go expat for increased savings potential. Once the account is open it is fine.

My query is related to claiming Tax back paid on savings interest, not 123 policies.

I think its the R40 I need.

gingercordial

Just for when you're talking to HMRC: I think you mean you are non-resident in the UK, not non-domiciled in the UK. Those are different things for tax. Non-domiciled would mean you'd severed all ties with the UK and had no intention to ever return (some people go as far as buying burial plots abroad to prove this). If you say that to an HMRC adviser without really meaning it things may get complicated.

xylophone

I think its the R40 I need.

Why not R43?

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/492998/R43-2015_final.pdf