interest paid question

[andyoxon]

Very basic probably, but if mini-ao's savings account is still in parents (our) name, is the interest paid into that account something that I have to declare under 'house hold income'..?

[Canardly]

Was there not a change in a recent budget whereby interest is not payable on first £1k of interest?

[jiberjaber]

Was there not a change in a recent budget whereby interest is not payable on first £1k of interest?

There was from April 2016 I think, 1K on lower rate tax payers, £500 on higher iirc

[Pickled Onion]

Declare to whom?

[andyoxon]

Thanks. Student finance for loan.

BTW  'did you get any interest for tax year 2016/17'

Is it Interest earned for that tax year, paid Apr 17, or interest actually paid into account during 16-17 tax yr, i.e. Apr 2016 (earned 2015-16)?

[Greenbank]

BTW  'did you get any interest for tax year 2016/17'

Is it Interest earned for that tax year, paid Apr 17, or interest actually paid into account during 16-17 tax yr, i.e. Apr 2016 (earned 2015-16)?

Did you receive any interest payments between 6th April 2016 and 5th April 2017 (inclusive)?

[Adam]

If the offspring's account has earned more than £100 in interest in a year (so completely unlikely!), then you're required to include it as your own income.  The follow on point from that is that you as a tax payer would only have to pay tax on the interest you've received from savings if the interest exceeds £1,000 if you're a basic rate tax payer, or £500 if you're higher rate.  If your taxable income is below £16,850 then in fact you can earn up to £5,000 worth of interest tax free.

The bank/building society should provide an annual statement showing the interest actually paid for the tax year.  If it's added say 12th April 2016, then that's interest for the 16/17 tax year.

[andyoxon]

Thanks for this.
The interest is well below £100.

[Adam]

"Nothing to declare" then.