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  • RE: Maximum Savings Interest before I need to pay tax

    Hi, I have a couple of scenarios i'm trying to wrap my head around. Firstly, my income is £20,000, I contribute £16,000 to a pension. Therefore, I have a net adjusted income of £4,000. If I then have savings of £10,000 would the first £8,570 of that be within my personal allowance and the remaining £1,530 be within my starter savings allowance? Or to go further if my net adjusted was £4,000 after pension contributions and i got £14,570 of interest would that then fall within my personal allowance, starter savings allowance and personal savings allowance? Secondly, more similar to the others in this thread. If I have £6,000 income (no net adjustment) and get £12,570 in interest would be within my allowances, so no tax to be paid? I understand interest over £10k would require a tax return. Look forward to hearing from you. Kind Regards 

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