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Tax on savings interest - £1000 or £500 at 0%?
lucyandthomas
Posts: 133 Forumite
in Cutting tax
Please can someone clarify if I can earn £1000 or £500 interest at 0% rate……
I’m self employed and pay into a SIPP. No other income apart from savings interest. £100 gift aid. If my profits are over £50,270, say £55,270, but I make pension contributions of 12k gross, can I still receive £1000 of savings interest at 0%?
Thanks
0
Comments
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Your adjusted net income is profits plus interest less gross pension contribution less gross gift aid. If this is no more than £50,270, your interest personal savings 0% rate is on the first £1,000 interest. Remember that you have to include the interest to see whether you exceed the limit.0
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That’s great - many thanks0
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