HMRC adjusting code based on wrong interest amount

RG2015

Thrugelmir said:

Gross interest is a form of investment income. There's many forms of same not just from savings accounts. 

I was happier when in HMRC parlance it was just BBSI.

unholyangel

RG2015 said:

Thrugelmir said:

Gross interest is a form of investment income. There's many forms of same not just from savings accounts. 

I was happier when in HMRC parlance it was just BBSI.

It was investment income long before hmrc came up with the term bbsi. 

RG2015

unholyangel said:

RG2015 said:

Thrugelmir said:

Gross interest is a form of investment income. There's many forms of same not just from savings accounts. 

I was happier when in HMRC parlance it was just BBSI.

It was investment income long before hmrc came up with the term bbsi. 

But savings and investments are not the same thing.

In any case, I assume that you are saying it was HMRC (or the Inland Revenue) that used the term investment income to include savings income.

All I am saying is that it is misleading to include savings income as a subset of investment income. 

Thrugelmir

RG2015 said:

unholyangel said:

RG2015 said:

Thrugelmir said:

Gross interest is a form of investment income. There's many forms of same not just from savings accounts. 

I was happier when in HMRC parlance it was just BBSI.

It was investment income long before hmrc came up with the term bbsi. 

But savings and investments are not the same thing.

In any case, I assume that you are saying it was HMRC (or the Inland Revenue) that used the term investment income to include savings income.

All I am saying is that it is misleading to include savings income as a subset of investment income. 

Interest is investment income. By depositing money and lending it to another party you are investing. What do you classify P2P as? 

RG2015

Thrugelmir said:"

RG2015 said:

unholyangel said:

RG2015 said:

Thrugelmir said:

Gross interest is a form of investment income. There's many forms of same not just from savings accounts. 

I was happier when in HMRC parlance it was just BBSI.

It was investment income long before hmrc came up with the term bbsi. 

But savings and investments are not the same thing.

In any case, I assume that you are saying it was HMRC (or the Inland Revenue) that used the term investment income to include savings income.

All I am saying is that it is misleading to include savings income as a subset of investment income. 

Interest is investment income. By depositing money and lending it to another party you are investing. What do you classify P2P as? 

Language is constantly evolving and frequently contextual. Many a time on this site, has saving been referred to as investing, and subsequently corrected by other users.

P2P is investing but generally offers interest in return. Possibly could be described as a hybrid, but I do take your point.

HMRC have themselves qualified the issue by creating a new term, BBSI.

I am nevertheless, grateful for this discussion as it will definitely inform my future thinking.

The_Fat_Controller

File online and tick the box that says you do not wish any tax to be collected through your tax code.

You'll know instantly what the bill will be.

Pay it in full at the end of January every year, if you have a lot of untaxed income you may need to pay a payment on account too.

That way you'll never be chasing your tail.

badmemory

They mess up mine every year & have told me that if I go back to filing SA they will ignore it.  They seem to think that interest rates are over 10%.  So every year I land up ringing them & telling them to send the full info.  You'd think when you retire your tax affairs should get easier - they don't.  At present they are trying to take more than my private pension in tax from my private pension but won't actually bill me (they say they can't) because it is going to come from my pension, which is obviously not going to happen because they can only take half of it.  I am keeping a running total.  Oh the joys!

unholyangel

RG2015 said:

Thrugelmir said:"

RG2015 said:

unholyangel said:

RG2015 said:

Thrugelmir said:

Gross interest is a form of investment income. There's many forms of same not just from savings accounts. 

I was happier when in HMRC parlance it was just BBSI.

It was investment income long before hmrc came up with the term bbsi. 

But savings and investments are not the same thing.

In any case, I assume that you are saying it was HMRC (or the Inland Revenue) that used the term investment income to include savings income.

All I am saying is that it is misleading to include savings income as a subset of investment income. 

Interest is investment income. By depositing money and lending it to another party you are investing. What do you classify P2P as? 

Language is constantly evolving and frequently contextual. Many a time on this site, has saving been referred to as investing, and subsequently corrected by other users.

P2P is investing but generally offers interest in return. Possibly could be described as a hybrid, but I do take your point.

HMRC have themselves qualified the issue by creating a new term, BBSI.

I am nevertheless, grateful for this discussion as it will definitely inform my future thinking.

I might be picking you up wrong but savings aren't investment income. Interest earned on savings is. 

Plus not all savings pay interest.

But would it help if you think of it as investing in the bank/b.society? It's essentially what it is. 

RG2015

unholyangel said:

XRG2015 said:

Thrugelmir said:"

RG2015 said:

unholyangel said:

RG2015 said:

Thrugelmir said:

Gross interest is a form of investment income. There's many forms of same not just from savings accounts. 

I was happier when in HMRC parlance it was just BBSI.

It was investment income long before hmrc came up with the term bbsi. 

But savings and investments are not the same thing.

In any case, I assume that you are saying it was HMRC (or the Inland Revenue) that used the term investment income to include savings income.

All I am saying is that it is misleading to include savings income as a subset of investment income. 

Interest is investment income. By depositing money and lending it to another party you are investing. What do you classify P2P as? 

Language is constantly evolving and frequently contextual. Many a time on this site, has saving been referred to as investing, and subsequently corrected by other users.

P2P is investing but generally offers interest in return. Possibly could be described as a hybrid, but I do take your point.

HMRC have themselves qualified the issue by creating a new term, BBSI.

I am nevertheless, grateful for this discussion as it will definitely inform my future thinking.

I might be picking you up wrong but savings aren't investment income. Interest earned on savings is. 

Plus not all savings pay interest.

But would it help if you think of it as investing in the bank/b.society? It's essentially what it is. 

Just to confirm then, savings income is the same as investment income.

And therefore, saving is the same as investing.