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  • New Savings interest for deceased person early in tax year

    I am dealing with the estate of someone who died early in this tax year (2024/25). Before 2023/24 they had no savings interest over the personal limit of £1,000 but in 2023/24 for the first time their savings interest exceeded £1,000 (it was approx £1,400?). I understand HMRC normally adjust the persons tax code for the next year (2024/25) to account for this, but when someone dies do they still do this? Or do they readjust 2023/24 years tax owed? He died early enough in the 2024/25 tax year that his earnings will not have reached his personal allowance which means he won’t have to pay tax on that savings interest. We are awaiting P800 but it has been more than the 8 weeks and we want to get an estimate finalised. Thanks.