Joint savings account split & tax calculations

Hello, I am on PAYE and my wife is self employed and completes a Self Assessment. We have joint savings account which means the interest is a 50-50 split. If, for example, the joint savings account generates £1000 of interest would my wife declare £500 or £1000 of interest in the self assessment for tax? Thanks for your help. C.

Hi

Where a husband and wife have a joint bank account, they are each entitled to 50% of any interest generated.
Your wife should therefore declare  50% of the annual interest when she completes her self assessment tax return.
More information can be found here SAIM2420 - Interest: taxation of interest: joint accounts

Thank you

Hi Neither myself or my wife work and live off a pension pot from myself. I currently use my own tax allowance and the wife’s allowance of £1370 in addition to my tax allowance against my pension drawings. We have a joint savings account and my question is - what is the full tax allowance I can offset for my wife on the interest accrued on our savings account and in addition - is there any additional tax allowance for the interest that I can offset against the interest Thank you

Hi David Coulson,
If a joint account then your wife will be reviewed on 50% of the interest.
If this is her only income and if she has transferred the marriage allowance to yourself this will leave her allowance of £11313 to allocate against the interest.  
Thank you.

My name was added to a savings account hitherto just in my wife’s name in October. Does the 50% split of the interest relate to that accrued for the whole tax year of from the date when my name was added thus making it a joint account.

Hi Wal62asking,
It will be from when your name was added.
Thank you. 

I have a joint account with my wife and she does not have income, can we allocate the the interest all go to her tax allowance?

Hi I have joint account from here I have used funds and invested in P2P lending which is in my sole name. Would I will be able to split gained interest with my partner?

Hi sanick13

If you have a joint account, interest will be split equally between the account holders. You can see the guidance here:

Tax on savings interest

Thank you.

Hi,

No. The interest you are referring to is from your investment, making you the beneficial owner of this interest, which only you should declare. Interest the joint account generates is split 50/50 between your wife and yourself.

Thank you.