Reporting Savings interest to HMRC

Pat38493

We have savings interest more than the £1K allowance (20% marginal taxpayer) and we need to report this to HMRC (or at least make sure they have the information).

Is there any way to do this online or if not how do we do this? (we don't do self assessement forms normally).

wmb194

Pat38493 said:

We have savings interest more than the £1K allowance (20% marginal taxpayer) and we need to report this to HMRC (or at least make sure they have the information).

Is there any way to do this online or if not how do we do this? (we don't do self assessement forms normally).

If it's just from banks and building societies it'll be reported to HMRC by the institutions and then HMRC will change your tax code to collect any tax due. 

If some of it is from intermediaries like Raisin and stockbrokers then you need to be more proactive as it doesn't appear that they report to HMRC.

DRS1

If you have a Personal Tax Account there should be a button somewhere saying Add Investment Income (or something like that).  You can click on that to update your savings income 

Pat38493

DRS1 said:

If you have a Personal Tax Account there should be a button somewhere saying Add Investment Income (or something like that).  You can click on that to update your savings income 

It's actually for my wife that we need to report.

I am looking at her government gateway personal tax account.  It says - "you paid the right amount of tax in 2024 / 2025".  However, in the tax summary for last tax year, there is no mention of any investment income, just her pension.

In the previous tax years she would not have earned anything close to enough to pay any savings tax, but in 24/25, she earned £1750 total savings interest (including the £1K tax free part).

Part of this came from a Hargreaves Lansdown Active Savings portal that used several different underlying bank accounts, so I doubt HMRC knows about it.

I have found the section on the HMRC web site to enter untaxed investment income, but it doesn't make it clear whether I should enter the total amount (including the tax free £1K part), or just the amount that should be taxed.

Also - there is nowhere that I can see the information that HMRC already has from other savings accounts, so it's not clear whether I would be double counting if I enter everything.

Is there a phone contact number for HMRC to call them and discuss?

masonic

Yes, and it is quite possible HMRC is not aware of all of the savings interest if Active Savings is in the picture.

https://www.gov.uk/find-hmrc-contacts/income-tax-enquiries

Supposedly the best time to call is when their lines open at 8am.

Dazed_and_C0nfused

Pat38493 said:

DRS1 said:

If you have a Personal Tax Account there should be a button somewhere saying Add Investment Income (or something like that).  You can click on that to update your savings income 

It's actually for my wife that we need to report.

I am looking at her government gateway personal tax account.  It says - "you paid the right amount of tax in 2024 / 2025".  However, in the tax summary for last tax year, there is no mention of any investment income, just her pension.

In the previous tax years she would not have earned anything close to enough to pay any savings tax, but in 24/25, she earned £1750 total savings interest (including the £1K tax free part).

Part of this came from a Hargreaves Lansdown Active Savings portal that used several different underlying bank accounts, so I doubt HMRC knows about it.

I have found the section on the HMRC web site to enter untaxed investment income, but it doesn't make it clear whether I should enter the total amount (including the tax free £1K part), or just the amount that should be taxed.

Also - there is nowhere that I can see the information that HMRC already has from other savings accounts, so it's not clear whether I would be double counting if I enter everything.

Is there a phone contact number for HMRC to call them and discuss?

You are overcomplicating things.

It's either tax free interest HMRC aren't normally interested in i.e. from an ISA.

Other than that as a basic rate payer all the interest will be taxed and she needs to report it in full.  The first £1,000 may well be taxed at a 0% tax rate but it's certainly not "tax free".

roked

You have to call the HMRC to tell them about your savings if you want them to take account of it in your tax code, otherwise just wait for them to send you the bill. 

If you do decide to call them, you have to break it down to every account and how much, its painful if you have a lot of accounts.

Pat38493

Dazed_and_C0nfused said:

Pat38493 said:

DRS1 said:

If you have a Personal Tax Account there should be a button somewhere saying Add Investment Income (or something like that).  You can click on that to update your savings income 

It's actually for my wife that we need to report.

I am looking at her government gateway personal tax account.  It says - "you paid the right amount of tax in 2024 / 2025".  However, in the tax summary for last tax year, there is no mention of any investment income, just her pension.

In the previous tax years she would not have earned anything close to enough to pay any savings tax, but in 24/25, she earned £1750 total savings interest (including the £1K tax free part).

Part of this came from a Hargreaves Lansdown Active Savings portal that used several different underlying bank accounts, so I doubt HMRC knows about it.

I have found the section on the HMRC web site to enter untaxed investment income, but it doesn't make it clear whether I should enter the total amount (including the tax free £1K part), or just the amount that should be taxed.

Also - there is nowhere that I can see the information that HMRC already has from other savings accounts, so it's not clear whether I would be double counting if I enter everything.

Is there a phone contact number for HMRC to call them and discuss?

You are overcomplicating things.

It's either tax free interest HMRC aren't normally interested in i.e. from an ISA.

Other than that as a basic rate payer all the interest will be taxed and she needs to report it in full.  The first £1,000 may well be taxed at a 0% tax rate but it's certainly not "tax free".

So if I report it on the HMRC government gateway portal I need to report the entire amount of investment/savings interest earned in GIA/Taxable savings account?

Dazed_and_C0nfused

Pat38493 said:

Dazed_and_C0nfused said:

Pat38493 said:

DRS1 said:

If you have a Personal Tax Account there should be a button somewhere saying Add Investment Income (or something like that).  You can click on that to update your savings income 

It's actually for my wife that we need to report.

I am looking at her government gateway personal tax account.  It says - "you paid the right amount of tax in 2024 / 2025".  However, in the tax summary for last tax year, there is no mention of any investment income, just her pension.

In the previous tax years she would not have earned anything close to enough to pay any savings tax, but in 24/25, she earned £1750 total savings interest (including the £1K tax free part).

Part of this came from a Hargreaves Lansdown Active Savings portal that used several different underlying bank accounts, so I doubt HMRC knows about it.

I have found the section on the HMRC web site to enter untaxed investment income, but it doesn't make it clear whether I should enter the total amount (including the tax free £1K part), or just the amount that should be taxed.

Also - there is nowhere that I can see the information that HMRC already has from other savings accounts, so it's not clear whether I would be double counting if I enter everything.

Is there a phone contact number for HMRC to call them and discuss?

You are overcomplicating things.

It's either tax free interest HMRC aren't normally interested in i.e. from an ISA.

Other than that as a basic rate payer all the interest will be taxed and she needs to report it in full.  The first £1,000 may well be taxed at a 0% tax rate but it's certainly not "tax free".

So if I report it on the HMRC government gateway portal I need to report the entire amount of investment/savings interest earned in GIA/Taxable savings account?

Yes, if you don't do that how would HMRC be able to calculate the correct liability?

Knowing someone's total taxable income is key to determining how much of the interest can be taxed at 0%.

Pat38493

Dazed_and_C0nfused said:

Pat38493 said:

Dazed_and_C0nfused said:

Pat38493 said:

DRS1 said:

If you have a Personal Tax Account there should be a button somewhere saying Add Investment Income (or something like that).  You can click on that to update your savings income 

It's actually for my wife that we need to report.

I am looking at her government gateway personal tax account.  It says - "you paid the right amount of tax in 2024 / 2025".  However, in the tax summary for last tax year, there is no mention of any investment income, just her pension.

In the previous tax years she would not have earned anything close to enough to pay any savings tax, but in 24/25, she earned £1750 total savings interest (including the £1K tax free part).

Part of this came from a Hargreaves Lansdown Active Savings portal that used several different underlying bank accounts, so I doubt HMRC knows about it.

I have found the section on the HMRC web site to enter untaxed investment income, but it doesn't make it clear whether I should enter the total amount (including the tax free £1K part), or just the amount that should be taxed.

Also - there is nowhere that I can see the information that HMRC already has from other savings accounts, so it's not clear whether I would be double counting if I enter everything.

Is there a phone contact number for HMRC to call them and discuss?

You are overcomplicating things.

It's either tax free interest HMRC aren't normally interested in i.e. from an ISA.

Other than that as a basic rate payer all the interest will be taxed and she needs to report it in full.  The first £1,000 may well be taxed at a 0% tax rate but it's certainly not "tax free".

So if I report it on the HMRC government gateway portal I need to report the entire amount of investment/savings interest earned in GIA/Taxable savings account?

Yes, if you don't do that how would HMRC be able to calculate the correct liability?

Knowing someone's total taxable income is key to determining how much of the interest can be taxed at 0%.

And since I cannot find any display of the existing savings interest that HMRC knows about on the PAYE portal, I guess you just have to include it all and hope they don't double count anything.

booneruk

In my case, I'm going to be earning more than my PSA in interest this tax year,  in the region of £50-£100 or so. I'm not intending to go out of my way to tell HMRC about this small overshoot - if various bodies should be auto reporting and they don't, I don't really consider that my problem.

What's the worst that can happen?! [it will not be pushing me anywhere near the next tax band btw]