Underpaid tax

miabrown

Hi all,
Just over a year ago, I had 2 family members pass away and they each left me some money. At the time I didnt know what to do with it, so I just put the payments into high interest accounts - and left them there. Ive now had notification from HMRC that I have underpaid tax due to these. Ive looked at their calculations and dont understand some of their workings, so my question is, before I phone them and probably look silly - what's the likelihood that they have their calculations wrong?
Thanks Mia

Dazed_and_C0nfused

miabrown said:

Hi all,
Just over a year ago, I had 2 family members pass away and they each left me some money. At the time I didnt know what to do with it, so I just put the payments into high interest accounts - and left them there. Ive now had notification from HMRC that I have underpaid tax due to these. Ive looked at their calculations and dont understand some of their workings, so my question is, before I phone them and probably look silly - what's the likelihood that they have their calculations wrong?
Thanks Mia

Unlikely but not impossible.

What do you think is wrong?

Do you fully understand how interest is taxed?

400ixl

So you earn't more than £1k if a 20% tax payer or £500 if a higher tax payer outside of any tax wrapper like an ISA?

What was your taxable income and the untaxed interest earned?