Declaring savings interest earned over £1k

Sea_Shell

Doctor_Who said:

When you are on the 'Your PAYE Income Tax summary for 6 April 2023 to 5 April 2024' webpage in your Gov.uk account select 'Add missing investment income' from the bottom right of the page. After various pages asking about address etc you have the option of telling HMRC what the investment income is (untaxed interest is one option).

Edit - I think you can also use 'Add missing income from another source'. I've not had to do this for a few years!

Thanks.    

I did see that part but didn't think it was the right bit, as it's not INVESTMENT income.  (I didn't click through)  

It's a shame they can't make that a bit clearer, as I would have thought more people are likely to have savings interest than investment income, especially now rates have increased.

Doctor_Who

Sea_Shell said:

Doctor_Who said:

When you are on the 'Your PAYE Income Tax summary for 6 April 2023 to 5 April 2024' webpage in your Gov.uk account select 'Add missing investment income' from the bottom right of the page. After various pages asking about address etc you have the option of telling HMRC what the investment income is (untaxed interest is one option).

Edit - I think you can also use 'Add missing income from another source'. I've not had to do this for a few years!

Thanks.    

I did see that part but didn't think it was the right bit, as it's not INVESTMENT income.  (I didn't click through)  

It's a shame they can't make that a bit clearer, as I would have thought more people are likely to have savings interest than investment income, especially now rates have increased.

Yes, they could make it more obvious! I have dividend income outside a tax wrapper and that is shown on my PAYE page under 'Income from other sources', but if I look in 'Add missing income from another source' dividends aren't listed (they are listed under investment income). So the terminology/consistency could be improved.

Sea_Shell

Doctor_Who said:

Sea_Shell said:

Doctor_Who said:

When you are on the 'Your PAYE Income Tax summary for 6 April 2023 to 5 April 2024' webpage in your Gov.uk account select 'Add missing investment income' from the bottom right of the page. After various pages asking about address etc you have the option of telling HMRC what the investment income is (untaxed interest is one option).

Edit - I think you can also use 'Add missing income from another source'. I've not had to do this for a few years!

Thanks.    

I did see that part but didn't think it was the right bit, as it's not INVESTMENT income.  (I didn't click through)  

It's a shame they can't make that a bit clearer, as I would have thought more people are likely to have savings interest than investment income, especially now rates have increased.

Yes, they could make it more obvious! I have dividend income outside a tax wrapper and that is shown on my PAYE page under 'Income from other sources', but if I look in 'Add missing income from another source' dividends aren't listed (they are listed under investment income). So the terminology/consistency could be improved.

Ah, that was going to be my next question...

Do they show what they already have noted, from outside sources or previous own input?

Can you update "as you go"?

Doctor_Who

Sea_Shell said:

Doctor_Who said:

Sea_Shell said:

Doctor_Who said:

When you are on the 'Your PAYE Income Tax summary for 6 April 2023 to 5 April 2024' webpage in your Gov.uk account select 'Add missing investment income' from the bottom right of the page. After various pages asking about address etc you have the option of telling HMRC what the investment income is (untaxed interest is one option).

Edit - I think you can also use 'Add missing income from another source'. I've not had to do this for a few years!

Thanks.    

I did see that part but didn't think it was the right bit, as it's not INVESTMENT income.  (I didn't click through)  

It's a shame they can't make that a bit clearer, as I would have thought more people are likely to have savings interest than investment income, especially now rates have increased.

Yes, they could make it more obvious! I have dividend income outside a tax wrapper and that is shown on my PAYE page under 'Income from other sources', but if I look in 'Add missing income from another source' dividends aren't listed (they are listed under investment income). So the terminology/consistency could be improved.

Ah, that was going to be my next question...

Do they show what they already have noted, from outside sources or previous own input?

Can you update "as you go"?

My figure for estimated dividends is the one I updated last year. I can update this again when I have an idea of the likely dividends for this tax year. It is shown on the main PAYE page below my pension income. The only 'outside source' figure that gets automatically updated is the 'tax on savings interest' (shown under the 'detailed PAYE Income Tax estimate')...and we know how accurate that is! I have entered the estimated figure for my pension income and can update this if needed, there is also a running total supplied by the pension company. 

Sea_Shell

It's quite worrying that when you Google this subject you mainly get answers along the lines of "you don't need to do anything, as your savings providers will report to HMRC", when clearly, as we've discussed, they all don't.

I couldn't find any info about voluntarily telling them of differing amounts, outside of needed to do a full self assessment.


I'm hoping to amend DHs interest for the current year, as they are assuming he'll have over £1000 (which he did a couple of years ago) and are taxing his pension on that amount.

Would they then automatically adjust his current tax code?

(He's awaiting a refund for last tax year, once they tally up, should be by November?)

Dazed_and_C0nfused

Sea_Shell said:

It's quite worrying that when you Google this subject you mainly get answers along the lines of "you don't need to do anything, as your savings providers will report to HMRC", when clearly, as we've discussed, they all don't.

I couldn't find any info about voluntarily telling them of differing amounts, outside of needed to do a full self assessment.


I'm hoping to amend DHs interest for the current year, as they are assuming he'll have over £1000 (which he did a couple of years ago) and are taxing his pension on that amount.

Would they then automatically adjust his current tax code?

(He's awaiting a refund for last tax year, once they tally up, should be by November?)

If it makes a difference yes.

But he will need to provide details for each individual not just a single global figure.

Sea_Shell

Dazed_and_C0nfused said:

Sea_Shell said:

It's quite worrying that when you Google this subject you mainly get answers along the lines of "you don't need to do anything, as your savings providers will report to HMRC", when clearly, as we've discussed, they all don't.

I couldn't find any info about voluntarily telling them of differing amounts, outside of needed to do a full self assessment.


I'm hoping to amend DHs interest for the current year, as they are assuming he'll have over £1000 (which he did a couple of years ago) and are taxing his pension on that amount.

Would they then automatically adjust his current tax code?

(He's awaiting a refund for last tax year, once they tally up, should be by November?)

If it makes a difference yes.

But he will need to provide details for each individual not just a single global figure.

That I can do... it's about £9.50 so far.

Will they need account numbers?

Doctor_Who

Would they then automatically adjust his current tax code?

That's how it worked when I updated my pension income estimate earlier this tax year. I assume the same will happen if you update the estimated income from interest. Saying that, these are all estimates of income/interest. What I don't know is what will happen when the tax calculation is done and your estimate of savings interest is different to what the banks have reported. Like estimated/actual pension income, I assume HMRC will use the actual figures reported to them by the banks, and then you're back at square one!

Doctor_Who

Dazed_and_C0nfused said:

Sea_Shell said:

It's quite worrying that when you Google this subject you mainly get answers along the lines of "you don't need to do anything, as your savings providers will report to HMRC", when clearly, as we've discussed, they all don't.

I couldn't find any info about voluntarily telling them of differing amounts, outside of needed to do a full self assessment.


I'm hoping to amend DHs interest for the current year, as they are assuming he'll have over £1000 (which he did a couple of years ago) and are taxing his pension on that amount.

Would they then automatically adjust his current tax code?

(He's awaiting a refund for last tax year, once they tally up, should be by November?)

If it makes a difference yes.

But he will need to provide details for each individual not just a single global figure.

So if you do SA you can just provide a single figure for total savings interest earned, but if you use your personal tax account on Gov.uk you need to provide a complete breakdown of the interest earned in each account?

Sea_Shell

@A_New_Start

Sorry for hijacking your thread, but hope you find the ongoing discussion of interest.