Tax and pension

Silverbird65

I have SPension and small co pension and some interest on savings what are the tax allces. As when I speak to HMRC they said I just have 12500 pa and £1000 tax free first  bit savings interest. I thought there was some other allces like £5000.Any help
Thanks 👍

[Deleted User]

This should help.

https://www.gov.uk/apply-tax-free-interest-on-savings

Silverbird65

Thank you but I am still not sure my income is £8677+£1218  then £2667 interest.Will I get the £5000allxe and £1000 as I am getting basic pa 12500.Help
Thanks

xylophone

Your Personal  tax free Allowance is £12,500.
Your only non savings income is £9895.
Therefore you can receive savings interest of  £2605 + £5000 + £1000 tax free.

Dazed_and_C0nfused

You will find that your tax code is reduced to reflect the fact that some of your savings interest is covered by your Personal Allowance.

Providing that your tax code is 121L or higher then you won't actually pay any tax and the code won't be wrong.

Despite what HMRC may have told you the £1,000 savings nil rate band (aka Personal Savings Allowance) is of no relevance to you as you don't have sufficient income to be able to use.