Skip to main content

This is a new service – your feedback will help us to improve it.

Posted Mon, 05 Dec 2022 21:57:40 GMT by connectiondue
hi hmrc admin - I have a NRE fixed deposit for 3 years i.e. from 1 Apr 21 to 1 Apr 23 and the interest accrues every year but will be paid after 5 year during maturity. I am currently on 40% tax bracket. I have not used by PSA for tax tear 20-21, 21-22, 22-23 and when my NRE fixed deposit is matured in 1Apr23, can I deduct/use my PSA for the interest earned for each year when it was accrued which means I can use my PSA allowance for all three tax years 20-21, 21-22 and 22-23 when interest is paid in 1Apr23? please can you guide thank you
Posted Thu, 08 Dec 2022 13:24:59 GMT by HMRC Admin 32

Unused personal savings allowances cannot be carried forward into a future tax year.  

Tax on savings interest

Thank you.
Posted Fri, 09 Dec 2022 16:15:07 GMT by connectiondue
Thank you dear Can I not net off the psa againt interest accrued for same tax year ? Thank you
Posted Tue, 13 Dec 2022 09:55:39 GMT by HMRC Admin 17

The personal savings allowance can be used against your interest but only in the year received.

You cannot use any unused allowances from previous years  .

Thank you.
Posted Tue, 13 Dec 2022 10:23:46 GMT by connectiondue
Thank you Hmrc admin 17 for the confirmation

You must be signed in to post in this forum.