savings interest split

Delais

Am I allowed to split the interest on my sole savings account with my married partner

wmb194

Delais said:

Am I allowed to split the interest on my sole savings account with my married partner

No, to do that it would need to be a joint account.

ColdIron

No, not if the account is in your name

You could open a joint account and transfer, or your partner could open an account in their name and you could gift them whatever you want

Dazed_and_C0nfused

ColdIron said:

No, not if the account is in your name

You could open a joint account and transfer, or your partner could open an account in their name and you could gift them whatever you want

And they could of course spend what they want once it's theirs.

steveksullivan

married...? ..... partner.....? is that 'wife' or is she married to someone else ?????

Slinky

You can do whatever you like with it, but in terms of who earned the interest, as far as HMRC are concerned,it is you while earned in your sole name. When it passes to whoever you give it to, anything earned on it in their name is then theirs.

grumbler

Delais said:

Am I allowed to split the interest on my sole savings account with my married partner

No, but if you are a basic rate taxpayer and your partner is a non-taxpayer (earns less than £12570) they can pass you a part of their personal allowance. 

MSE:

Marriage tax allowance

Dazed_and_C0nfused

grumbler said:

Delais said:

Am I allowed to split the interest on my sole savings account with my married partner

No, but if you are a basic rate taxpayer and your partner is a non-taxpayer (earns less than £12570) they can pass you a part of their personal allowance. 

MSE:

Marriage tax allowance

It's actually less restrictive than that.  Providing the applicant isn't liable to higher rate tax they are eligible.

So they could have taxable income of say £17,310 and apply and still have no tax to pay.  Providing that the earnings/pension element is no more than £11,310.

housebuyer143

No, just need to transfer the money to your spouse to hold in their name. Hopefully you trust them. 
My husband has sent all his savings to me to avoid any tax that would otherwise be due.

where_are_we

I trust my partner implicitly. I am a basic rate taxpayer and she is a non taxpayer. She has the majority of our savings and is able to use the £5000 0% starter rate as well as her personal allowance. With the current high interest rates there are many basic rate taxpayers who will end up paying 20% tax on their savings interest over the £1000 personal savings allowance.