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Post by snappyfish on Oct 20, 2016 21:03:28 GMT
Hi,
so I currently started investing in various sites around October 2015
Saving stream
Money Things
Rate Setter
Zopa
Santander 123
I see all these accounts above I need to pay tax on interest earned
I have checked statements from those above and my interest earned a small £777.44 as I was testing the water for a few months.
Might sound stupid but when is the deadline, and how do I notify the HMRC?
Thanks
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adrianc
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Post by adrianc on Oct 20, 2016 21:14:39 GMT
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james
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Post by james on Oct 21, 2016 3:41:54 GMT
A letter or phone call will currently work fine for 2015-16 tax year if you're not already in self-assessment. There might be a way to tell them via your online Personal Tax Account instead. Given the amount there's unlikely to be any issue if you happened not to tell them as soon as they would like but it's still good to do it before the end of January 2017. Tell them the gross interest from the untaxed accounts combined and the gross interest and tax deducted from Santander, three numbers. |
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Post by snappyfish on Oct 21, 2016 19:30:35 GMT
Thanks, Will maybe call them and ask for advice. As honest answer will be new to this and looking for advice.
One thing Zopa have this available on there website. This enough for large and small amounts?
Copy for the template letter
[Tax office address]
[Member name & address]
Dear Sir/Madam,
[Full Name], NI No: [National Insurance Number]
I do not currently complete a Self-Assessment Tax return but I do participate in making loans via the Zopa platform (www.zopa.com). In the last tax year, my earnings were as per the summary attached; please let me know if any tax is due and payable on these items.
Yours Faithfully,
[Full Name]
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james
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Post by james on Oct 21, 2016 21:59:01 GMT
I wouldn't and haven't used the Zopa letters. HMRC wants the three numbers I mentioned and those are what I tell them. After the allowable deductions for unrecoverable defaults and additions for recoveries of previously unrecoverable amounts in the P2P cases for 2016-17 and later.
I do keep the related records behind the three numbers on the off chance that HMRC might ask me for more detail but that hasn't happened yet. It will some day.
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Post by snappyfish on Oct 21, 2016 22:09:21 GMT
A letter or phone call will currently work fine for 2015-16 tax year if you're not already in self-assessment. There might be a way to tell them via your online Personal Tax Account instead. Given the amount there's unlikely to be any issue if you happened not to tell them as soon as they would like but it's still good to do it before the end of January 2017. Tell them the gross interest from the untaxed accounts combined and the gross interest and tax deducted from Santander, three numbers. Santader 123 dont deduct tax? Do they?
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ilmoro
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'Wondering which of the bu***rs to blame, and watching for pigs on the wing.' - Pink Floyd
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Post by ilmoro on Oct 22, 2016 0:25:24 GMT
A letter or phone call will currently work fine for 2015-16 tax year if you're not already in self-assessment. There might be a way to tell them via your online Personal Tax Account instead. Given the amount there's unlikely to be any issue if you happened not to tell them as soon as they would like but it's still good to do it before the end of January 2017. Tell them the gross interest from the untaxed accounts combined and the gross interest and tax deducted from Santander, three numbers. Santader 123 dont deduct tax? Do they? Not in this tax year they wont but the discussion relates to the last tax year 2015-16 when all banks deducted tax at source unless non-taxpayers had registered for tax free interest Ive used the Zopa template since 2009 without issue, just declaring untaxed P2P interest
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Post by snappyfish on Oct 23, 2016 20:35:39 GMT
ok so checking my statement I opened the santander 123 account on 31/12/2015 (must of been bored on news years eve) first money in from interest was - 25/02/2016 INTEREST PAID AFTER TAX 10.03 DEDUCTED £40.11
- 25/03/2016 INTEREST PAID AFTER TAX 9.38 DEDUCTED £37.53
- 25/04/2016 INTEREST PAID AFTER TAX 0.00 DEDUCTED £50.14
So for the 2015-16 tax year I do not need to worry about telling them anything to do with Santander as it's already been deducted?
I can just grab statements from Zopa, Saving stream, Money thing, Rate setter and just add gross interest and make HMRC aware of that?
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james
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Post by james on Oct 24, 2016 1:35:30 GMT
So for the 2015-16 tax year I do not need to worry about telling them anything to do with Santander as it's already been deducted?
I can just grab statements from Zopa, Saving stream, Money thing, Rate setter and just add gross interest and make HMRC aware of that? If you want you can tell HRMC two numbers: net interest for places that deducted interest at source and gross interest for those which didn't. You must tell them about the Santander interest because there is always the chance that a person might be a higher or top rate tax payer and only basic rate is deducted at source. Three numbers is what I suggest in part because that's how HMRC will calculate it and asks for it: add up all the gross income, work out tax bill, deduct tax already paid and result is how much tax there is still to pay.
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