We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Tax Free Income?

ffacoffipawb
ffacoffipawb Posts: 3,593 Forumite
Part of the Furniture 1,000 Posts Name Dropper Photogenic
edited 2 June 2016 at 12:18PM in Cutting tax
The personal savings allowance is still classed as taxable income but the tax rate is 0%. The income still needs to be declared and is used to decide the type of taxpayer you are - basic, higher or additional.

Is this the same of the £5,000 dividend allowance. Do dividends under £5,000 pa in total need to be declared or not? The allowance does not seem to depend on class of taxpayer - basic, higher or additional.

Thanks

EDIT: Yes it needs to be declared and works in a similar way to the personal savings allowance ...

https://www.gov.uk/government/publications/dividend-allowance-factsheet/dividend-allowance-factsheet
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 355.5K Banking & Borrowing
  • 254.8K Reduce Debt & Boost Income
  • 456K Spending & Discounts
  • 248.1K Work, Benefits & Business
  • 605.5K Mortgages, Homes & Bills
  • 179K Life & Family
  • 263.3K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.