Does interest on savings effect higher income child benefit charge

Deano37

Hi everyone basically I earned just over £51 k 23-24 tax year and I received child benefit, I am struggling to understand one thing, in one Parton the self assessment it says UK interest Taxed and untaxed interest, firstly I am not sure if interest is taxed or untaxed ? Halifax instant savers, Untaxed i imagine, i have a load of accounts with Halifax I transfer money to like shopping and account for my insurance etc.

Secondly I thought you get £500 allowance on savings , why when I add £360 in the untaxed interest what I worked out on all my accounts by adding the interest payed does it at the end say I owe £358 however if I leave blank it's £299, as it is within allowance I thought wouldn't effect the higher income charge I need to pay back.

Any help appreciated 
Thanks dean

zagfles

It works on "adjusted net income" which is all taxable income before any allowances are applied. So for instance the personal allowance of £12570 and the personal savings allowance of £500/1000 are not taken off. 

If the income is tax free it's not counted, for instance ISA interest. But any taxable interest is, whether or not it's covered by an allowance. 

See Personal Allowances: adjusted net income - GOV.UK (www.gov.uk)

Deano37

Brilliant thanks for clearing that up @zagfles