Wrong allocation of savings interest by HMRC

Goldenyears

Recently Mrs Goldenyears received a letter from HMRC saying she owed 2020/2021 tax from savings interest over £1000.  We knew this was wrong and it was sorted efficiently in a phone call.  Apparently HMRC allocated her 100% for our joint accounts instead of the 50% it should have been by default.  However, what annoyed me was there was no itemisation of the 4 joint accounts in question, just a single figure.  The letter implies – no need to phone, go to your personal tax account for more detail.  We did, but this said “no more tax to pay for 2020/2021”.  Why no detail about saving interest?? Even if less than personal savings allowance it would be nice to know it agreed with figures banks and building socs are supplying to you direct.

Dazed_and_C0nfused

You only pay tax on interest if your taxable income is greater than £17,310 (Marriage Allowance applicant) or £18,570 so the £1,000 savings nil rate band (aka Personal Savings Allowance) is irrelevant to an awful lot of people.

There was a very very long thread on the Savings & Investments board about interest details on gov.uk/Personal Tax Account and that seemed to suggest interest details were no longer available.  Not sure anyone knew why though.

HMRC calculations, whether it be a P800, PA302 or tax code notice don't include individual account details.  They will presumably supply a breakdown on request though.

We did, but this said “no more tax to pay for 2020/2021”

I suspect this was as a result of the phone call and updated calculation (showing no tax payable)?

Goldenyears

Dazed_and_C0nfused said:

I suspect this was as a result of the phone call and updated calculation (showing no tax payable)?

No, we accessed her personal tax account before the phone call.  That was the advice on the letter.   So the letter was in conflict with on-line PTA at that moment.

RG2015

As @Dazed_and_C0nfused says the details are no longer available online. People were complaining that they were incorrect and HMRC ended up closing the link.

I have obtained a full breakdown for several tax years both over the phone and by post upon request.

I have also advised them of errors (as have you) and had them corrected instantly.

There are two areas where you can see their total figure for two years past and the current year. Sadly, there is nowhere I can find the previous year.

I will see if I can locate these and put them in a follow up post.

RG2015

Here are the links mentioned on my last post. You need to be logged in to your personal tax account (PTA) online for them to work.

1) Link for 2018/2019 and 2019/2020.

https://www.tax.service.gov.uk/annual-tax-summary/paye/main

Click on the required year, then on "Your income and taxes", then on "Your taxable income".

The figure shown for  "Other income (including interest)" is the amount HMRC have for my interest for that particular year.

2) For 2021/2022

On your PTA online account homepage click on pay as you earn, then click on check current year, then click how your income tax is calculated, then click on view detailed income tax estimate. This page should show your total income from interest on savings this tax year.