HMRC to tax savings interest above personal allowances

birminghammail.co.uk

HMRC may issue tax bills to individuals with savings as low as £3,500 due to banks reporting interest earned. Tax is due on savings interest exceeding personal allowances. Basic rate taxpayers have a £1,000 allowance, higher rate taxpayers have £500. This change follows banks notifying HMRC of customer interest, potentially impacting those with fixed-rate accounts at higher interest rates.


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HMRC to tax savings interest above personal allowances | News Minimalist