QIB UK + Raisin Tax

GeoffTF

I have a QIB UK two year bond through Raisin. The documentation says that the expected profit is paid annually and compounded up. There is no option to have annual interest paid out of the account. My understanding of the HMRC rules is that tax on interest for this bond is payable on maturity, and not on the first anniversary. The first anniversary passed in this tax year, but I could not find a statement in my Raisin account. Will I get a tax certificate later in the financial year?

EthicsGradient

I have the same thing. Like you, my understanding is that tax on all the interest is payable on maturity (the T&Cs explicitly point out there is no option to withdraw any money early, even with a penalty). I don't expect a tax certificate for 2021-22, but I'll check the account before submitting the 2021-22 self-assessment (I could delay that until the account has matured, for that matter).

masonic

It's explicitly stated in the product details that interestprofit is payable on maturity. Raisin has always sent me a tax statement within 6 weeks of the end of a tax year in which I have received any taxable income.

GeoffTF

masonic said:

It's explicitly stated in the product details that interestprofit is payable on maturity. Raisin has always sent me a tax statement within 6 weeks of the end of a tax year in which I have received any taxable income.

Has Raisin failed to send a tax statement when there is no tax to pay?

masonic

GeoffTF said:

masonic said:

It's explicitly stated in the product details that interestprofit is payable on maturity. Raisin has always sent me a tax statement within 6 weeks of the end of a tax year in which I have received any taxable income.

Has Raisin failed to send a tax statement when there is no tax to pay?

Whether or not there is tax to pay depends on your personal circumstances. I received a 2020-2021 tax statement, but all of that income fell within my personal savings allowance, so there was no tax to pay.

What you probably meant to ask is if Raisin have ever failed to send a tax statement when there is no income to declare. I did not receive a tax statement for 2018-2019 despite holding several accounts opened from June 2018, as there was no income to declare.

GeoffTF

Yes, you are right, many people do not pay income tax. A slip of the keyboard.

Thanks for that. If I want confirmation that there is no tax to declare, I can try sending Raisin a secure message when my other tax certificates have arrived, asking when I will get mine from Raisin. I previously sent Raisin a secure message on this matter, but they just repeated back what it said in the QIB documentation that I already had.