Tax Changes - Halifax Reward

Yorkshire_Pud

Halifax have done a deal with HMRC whereby they pay the tax on the Reward. Its then up to the great unwashed to claim it back if they can be bothered. Its not a trick as it doesn't come under the £1,000 scheme.

Now I do have a question. How many tax years can one go back to claim on the R40 for the Reward payment as I'd hate to have to do it every year just to get £15?

xylophone

The reward payment is income.

You have paid income tax on it even though not through pay as you earn.

I'd say four previous tax years as here.https://www.gov.uk/claim-tax-refund/too-much-tax-taken-from-your-pay

It's the same time scale for overpaid tax on savings income

https://www.gov.uk/apply-tax-free-interest-on-savings/how-much-tax-you-pay

But you'd just end up having to provide all the relevant details for each previous year in the year that you claimed... I can't see that there's much saving in terms of time!

And surely it's worth having the money in your pocket as soon as possible....

polymaff

Ballard wrote: »

I suppose that it's good that you searched through the forum for a related thread. It's just a shame that you didn't get to post number two of this thread before posting as that gives the answer that you're looking for.

And, what is more, that #2 post was a reply to his own #1 post, Ballard. :rotfl:

polymaff

Yorkshire_Pud wrote: »

Halifax have done a deal with HMRC whereby they pay the tax on the Reward.

Another conspiracist! The Halifax are just conforming to a longstanding income tax procedure.

RandomUser923759

@b_g_b the 1000 that you can now earn before it is taxable.

Why is the gross not paid now this is in place?

RandomUser923759

polymaff wrote: »

And, what is more, that #2 post was a reply to his own #1 post, Ballard. :rotfl:

I knew it was my post...

eskbanker

mrchrisbrogan wrote: »

@b_g_b the 1000 that you can now earn before it is taxable.

aka the Personal Savings Allowance that negates tax on the first £1,000 of interest (not reward payments, as per post #2 and all the other threads).

mrchrisbrogan wrote: »

Why is the gross not paid now this is in place?

Because the £6.25 gross (£5 net) is a reward payment and is therefore unaffected by the change in taxation of interest, as per post #2 and all the other threads!

GingerFurball_2

mrchrisbrogan wrote: »

@b_g_b the 1000 that you can now earn before it is taxable.

Why is the gross not paid now this is in place?

Because it's not savings income.