2024 - 2025 Tax Not Calculated

Samantha31

Which banks may not pass on 

subjecttocontract

It's been mentioned on this forum before that some of the platforms (e.g. Raisin & others) may not report. Although I got an email from Raisin this week specifically saying they might.

masonic

Samantha31 said:

Which banks may not pass on 

In theory any bank could fail to report, or report an incorrect amount, so everyone who earns a potentially taxable amount of interest should at least quantify it to make sure the calculation from HMRC is correct.

Samantha31

What about chase bank 

CrunchyNutCornflakes

Maybe a silly question but where do you check the calculated interest? I can't find it on the HMRC app

masonic

CrunchyNutCornflakes said:

Maybe a silly question but where do you check the calculated interest? I can't find it on the HMRC app

If you want to know what they know about before they do their calculation and adjust your tax code, then you'd need to phone them or write to them. Otherwise you can wait and then check their total matches yours when they send you their calculation.

BreakingGlass

I recently did a check of interest for the 23/24 tax year.  I asked HMRC for a copy of the interest that had been reported to them by the banks and received a full statement (BBSI).  Missing from their spreadsheet was interest of nearly £5k from Tandem, and about £300 from Chase.  Whether these figures had been reported correctly by the two banks I do not know, or perhaps HMRC couldn't match the bank's data to my tax account.

The remaining roughly £12k of interest from about 20 other institutions was correct to the penny. 

Nasqueron

CrunchyNutCornflakes said:

Maybe a silly question but where do you check the calculated interest? I can't find it on the HMRC app

I found it on the HMRC site, not the app, when you login there is an option near the bottom, I can't access the site at the moment but I recall it's the middle tile at the bottom of the landing page and it shows you all the income for the tax year with salary and interest selected.

Like OP mine hasn't been done for 24/25 though I know the total probably to the penny and it's below the £1000 limit, next year I will be over by some way assuming everyone reports it but I see it as more income for me is OK, rather than earning less to avoid tax. 

There is an interesting calculation on ISA vs savings + tax and what rate you need to get to be better off, I think 4.35% was the best 1 year ISA last time I looked, for 20k, at a certain point of interest, something like 8k in Santander Edge + other savings might tip you over £1000 of interest but you still get more even paying 20% on the amount over £1000

Samantha31

BreakingGlass said:

I recently did a check of interest for the 23/24 tax year.  I asked HMRC for a copy of the interest that had been reported to them by the banks and received a full statement (BBSI).  Missing from their spreadsheet was interest of nearly £5k from Tandem, and about £300 from Chase.  Whether these figures had been reported correctly by the two banks I do not know, or perhaps HMRC couldn't match the bank's data to my tax account.

The remaining roughly £12k of interest from about 20 other institutions was correct to the penny. 

For 22-23 and 23-24 it is showing £226 in my tax summery however 23-24 should show £1163. I have had no update no tax code change, no p800 no nothing it’s now obviously mid sept and my bank is chase. What is happening or what is going to happen going forward please.  The summery was done in December last year. 

BreakingGlass

Samantha31 said:

BreakingGlass said:

I recently did a check of interest for the 23/24 tax year.  I asked HMRC for a copy of the interest that had been reported to them by the banks and received a full statement (BBSI).  Missing from their spreadsheet was interest of nearly £5k from Tandem, and about £300 from Chase.  Whether these figures had been reported correctly by the two banks I do not know, or perhaps HMRC couldn't match the bank's data to my tax account.

The remaining roughly £12k of interest from about 20 other institutions was correct to the penny. 

For 22-23 and 23-24 it is showing £226 in my tax summery however 23-24 should show £1163. I have had no update no tax code change, no p800 no nothing it’s now obviously mid sept and my bank is chase. What is happening or what is going to happen going forward please.  The summery was done in December last year. 

In my case I had already submitted a Tax Return declaring the full interest (including the Tandem and Chase figures).  I had to submit a Tax Return because my savings income was greater than £10k (according to this tool:  https://www.gov.uk/check-if-you-need-tax-return )  It made no difference to my tax payable because interest on savings is my only taxable income and I was below £18,570.

In your case there is a separate tool that allows you to estimate how much you should have paid for a previous year without signing in.  I haven't tried this, but you could use this to check for the year 23-24, and if you think you owe income tax you should contact HMRC.

Basically the onus is on the individual to check their online HMRC tax account and correct any discrepancies.