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Posted Mon, 27 May 2024 20:39:35 GMT by Dat85
Hi, I have been filling in my SA tax return for 23/24. I only need to fill it in due to HICB. I've earnt £130 in bank interest this year and have added this to the gross interest line. When I get to the calculation page the bank income has been added to my taxable income meaning I have a higher tax payment to make. The bank interest is shown twice on the calculation, once within my income where it's added to my taxable income. It's also listed further down as bank interest again with 0% tax. I don't understand why this is added to my taxable income when the £130 interest is well below my £500 PSA. I've taken the interest out and re run the calculation and it comes down by £48. Many thanks
Posted Mon, 03 Jun 2024 09:07:16 GMT by HMRC Admin 32 Response
Hi,

The untaxed interest is still included to calculated your adjusted net income, but, if below the PSA you will not pay tax on this. 

Thank you.

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