Taxed vs student savings

Waldir

Hi,

My wife started being a student again, and all her bank accounts are now tax-free (after filling in many R85 forms).

In the past (when she was working), we were transferring money freely between our current and saving accounts.

Do I now need to be extremely careful not to transfer any money from my accounts (with taxed interests) to hers (tax-free), or does it not matter so much?


Thanks,
Waldir

Aegis

As far as I'm aware the transfers you make between yourself and your wife are no-one's business but your own for savings accounts. As long as your wife doesn't exceed the non-taxed threshold you should be fine.

Note that I'm most definitely NOT a definitive source of information on this, but usually this sort of transfer is referred to as tax avoidance (legal) rather than tax evasion (illegal)

debbie42

You can quite freely transfer money between spouses, so it makes sense to keep any spare in your wife's name.

merlinthehappypig

We have all our money in my wife's name as she is a non-taxpayer. The only risk is if she runs off................

Mikeyorks

Get your milk from Sainsbury's ... at least that obviates the milkman!

You can move money between accounts to your heart's content. As long as you don't (with any other income she may have) push the Interest over the threshold of her personal allowances. If you do ... you have to withdraw all the R85s. You should be aiming to maximise her interest .. within the constraints above .. whilst minimising your's? If you're a higher rate payer - you should absolutely be maximising hers ... even if that does mean rescinding the R85s.

Jonbvn

merlinthehappypig wrote: »

We have all our money in my wife's name as she is a non-taxpayer. The only risk is if she runs off................

Exactly what we do (except I have chained her to the sink so she can't run off;)).