Is tax still payable on ppi after April 2016

ehinken

I have received letters from the bank advising that I have been successful with my ppi claim and they will be deducting tax (around £800 over two claims). I haven't sent the form back yet but was wondering if this was sent back after April 2016 whether tax would no longer be payable. I assume this would then fall under the allowed £1,000 interest and no longer classed as income.
I cannot find any guidance on this yet but would be grateful if anyone has any information about this.
Thanks

[Deleted User]

It's payable, if you are a taxpayer, regardless of when you send the form back. The Bank will simply deduct the tax and send you the remainder. If you feel you have been taxed by too much you'll have to contact HMRC.

The £1,000 interest on savings applies for the 2016-2017 year when tax will not be automatically deducted from savings' interest.

Request HMRC send you form R40 if you are entitled to a refund.

Tax office helpline 01355 359022 .