More than £10k in interest - self assessment form

Gavinfraser1987

Hi All - apologies if this has been asked before. I'm likely to hit £10k in savings interest this financial year. It will be a one off - we sold our house in March, and won't be buying for a few months - and are hence sitting on quite a lot of cash. Have already maxed out Cash ISA and PBs -so can't really move money around to avoid hitting the threshold.

My question is a) if hitting the threshold will only happen in this FY, do I need to complete an SA? and b) if so, when do I need to do it by? Its possible that I end up just below the £10k threshold, but won't know that until the end of March

Many thanks in advance!
Gavin

InvesterJones

I think you do, by 31st January following the end of the FY (ie you'll have from April to January). Probably too late now, but you could use gilts to avoid some interest (move it to capital gain which is not payable on gilts)

wmb194

Gavinfraser1987 said:

Hi All - apologies if this has been asked before. I'm likely to hit £10k in savings interest this financial year. It will be a one off - we sold our house in March, and won't be buying for a few months - and are hence sitting on quite a lot of cash. Have already maxed out Cash ISA and PBs -so can't really move money around to avoid hitting the threshold.

My question is a) if hitting the threshold will only happen in this FY, do I need to complete an SA? and b) if so, when do I need to do it by? Its possible that I end up just below the £10k threshold, but won't know that until the end of March

Many thanks in advance!
Gavin

Not necessarily, have a look through a recent thread linked below. The OP there is over £10k in interest and HMRC gave the option to have the tax taken via tax code or a one off payment and hasn't requested a SA.

https://forums.moneysavingexpert.com/discussion/6577007/self-assessment-query/p1

Bigwheels1111

I've gone over 10k in 23/24.

When you read the info on HMRC site it says yes and no.

I just filled out a self assessment form.

It took longer to register than to file the return.

You can leave a comment at the end, so Maybe, This was interest from savings due to house sale.

A new property has now been purchased and no interest will be gained in the year. ie 25/26.

You could call and ask. As I knew I would need to, I called and was told to file.

3 days later a letter arrived stating the fact.

That way they may not mess with your tax code.

Gavinfraser1987

Thanks everyone - very helpful. I'll call them. 

colint2127

hi
we are in a similar situation most of our savings are in my wife's name as she has no other earnings and she has gone over the 10k savings interest its approx 11k mainly due to a long term savings bond paying all the interest when it matured in march 25, as i said she has no other earnings hence no tax is due and this is a one off due to the bond paying the 5 years interest at maturity(tax year 24-25) she does really want to fill in a tax return(as she has never had in all her working life) her online tax account says at today's date that her tax for 24-25 has not yet been calculated,she is tempted just to leave it until the tax has been calculated as they should either ask her to fill in a tax return or just do the calculation as she has no other earnings she will have no tax bill. please advise  

eskbanker

colint2127 said:

hi
we are in a similar situation most of our savings are in my wife's name as she has no other earnings and she has gone over the 10k savings interest its approx 11k mainly due to a long term savings bond paying all the interest when it matured in march 25, as i said she has no other earnings hence no tax is due and this is a one off due to the bond paying the 5 years interest at maturity(tax year 24-25) she does really want to fill in a tax return(as she has never had in all her working life) her online tax account says at today's date that her tax for 24-25 has not yet been calculated,she is tempted just to leave it until the tax has been calculated as they should either ask her to fill in a tax return or just do the calculation as she has no other earnings she will have no tax bill. please advise  

Presumably the bolded wording is missing a 'not'?!

It's true that HMRC guidance is to complete a tax return in this situation but my understanding is that this isn't legally obliged as such, if no tax is actually due, so it seems to me that there's little to lose by waiting for a P800 assessment later in the year and taking it from there - if necessary she could self-assess by the end of next January.

P.S. Might be worth using punctuated sentences for legibility in future posts?

Albermarle

colint2127 said:

hi
we are in a similar situation most of our savings are in my wife's name as she has no other earnings and she has gone over the 10k savings interest its approx 11k mainly due to a long term savings bond paying all the interest when it matured in march 25, as i said she has no other earnings hence no tax is due and this is a one off due to the bond paying the 5 years interest at maturity(tax year 24-25) she does really want to fill in a tax return(as she has never had in all her working life) her online tax account says at today's date that her tax for 24-25 has not yet been calculated,she is tempted just to leave it until the tax has been calculated as they should either ask her to fill in a tax return or just do the calculation as she has no other earnings she will have no tax bill. please advise  

Ideally you should start your own thread instead of piggy backing on one that is 7 months old.
Also it is very difficult to read with hardly any punctuation or sentences.

colint2127

eskbanker said:

colint2127 said:

hi
we are in a similar situation most of our savings are in my wife's name as she has no other earnings and she has gone over the 10k savings interest its approx 11k mainly due to a long term savings bond paying all the interest when it matured in march 25, as i said she has no other earnings hence no tax is due and this is a one off due to the bond paying the 5 years interest at maturity(tax year 24-25) she does really want to fill in a tax return(as she has never had in all her working life) her online tax account says at today's date that her tax for 24-25 has not yet been calculated,she is tempted just to leave it until the tax has been calculated as they should either ask her to fill in a tax return or just do the calculation as she has no other earnings she will have no tax bill. please advise  

Presumably the bolded wording is missing a 'not'?!

It's true that HMRC guidance is to complete a tax return in this situation but my understanding is that this isn't legally obliged as such, if no tax is actually due, so it seems to me that there's little to lose by waiting for a P800 assessment later in the year and taking it from there - if necessary she could self-assess by the end of next January.

P.S. Might be worth using punctuated sentences for legibility in future posts?

Yes it should say “not” 

thank you for taking the time to make a comment!

colint2127

Albermarle said:

colint2127 said:

hi
we are in a similar situation most of our savings are in my wife's name as she has no other earnings and she has gone over the 10k savings interest its approx 11k mainly due to a long term savings bond paying all the interest when it matured in march 25, as i said she has no other earnings hence no tax is due and this is a one off due to the bond paying the 5 years interest at maturity(tax year 24-25) she does really want to fill in a tax return(as she has never had in all her working life) her online tax account says at today's date that her tax for 24-25 has not yet been calculated,she is tempted just to leave it until the tax has been calculated as they should either ask her to fill in a tax return or just do the calculation as she has no other earnings she will have no tax bill. please advise  

Ideally you should start your own thread instead of piggy backing on one that is 7 months old.
Also it is very difficult to read with hardly any punctuation or sentences.

Thank you for taking the time to contribute on this subject!

Ciprico

We had same issue, (historically paye so no SA, this year exceeded 10k interest, but no tax due. We also stated this was a one off for this year)

We wrote a nice letter to HMRC, explaining all this, with NI number etc

- their response:




You can download a blank SA form and send off as paper form if you can't access
govmt gateway to submit on-line