Tax on my mothers 1 Year Bond and my own 1 Year Bond

My mother is 88. She took out a one year bond in Nov 22. It has just matured paying £2596.72 in gross interest. I now have power-of-attorney over my mothers finances. How will my mother pay the tax on this? Will it be adjusted on pension income? I also took out a one year bond around the same time last year. The gross interest earned was £1656.99. How will I pay the tax owed on this? Will it be adjusted on the income which I earn? Any advice will be gratefully received as this is causing me a bit of a headache Thanks Steven

Hi,

As the interest received is over the Personal Savings Allowance, we will attempt to recover any tax due via a pension or employment source. This can only happen if there is enough taxable income to allow this. If not, payment will need to be made direct.

Thank you.

So will HMRC contact me and my mother if there isn't enough taxable income and payment has to be made direct? Will they also inform me as to how I am able to make the payments. For information, I currently make £24000 annually. My mothers pension is £14578 annually Thanks Steven

Hi Roadeye

With those levels of income, any tax due should be able to be collected in the code.

Thank you