Best savings account?

The Tax man caught up with me, had a letter that I paid to little tax last year, £550 I owe.

It says I don't need to do anything and they will take the tax from my wages/pension starting April, presume that means a new tax code, or I can pay the sum now.

Not sure what to do, as soon I will have a larger chunk in tax free savings, and how can I be sure the tax man will reduce my tax long term automatically without me having to phone them.

Do you think I'm better off just paying it off in one chunk now so they don't change my tax code for the year ahead?
 
The wife and I had the same, I’m taking the view that it’ll all sort itself out in the long term.
 
If you don't disagree with their calculations then I would pay it off in 1 go and not having to change the tax code. Just to avoid the possibility of them not changing it back in the future in the correct time, thus avoiding potential headache trying to get money back from them.
 
Raymond Lin said:
If you don't disagree with their calculations then I would pay it off in 1 go and not having to change the tax code. Just to avoid the possibility of them not changing it back in the future in the correct time, thus avoiding potential headache trying to get money back from them.
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Thats my thinking, I get my interest very soon anyway, so can use some of that to pay it.
 
mattyfez said:
Anyone find T212 (cash ISA) is irritating when it texts you every day to tell you you've earned a fiver interest? I cant seem to turn it off in the notifications settings in the app...

Also the interest is daily..but check out the ammounts... its quite odd some days are lower, anyone know why, surely evey day should be a timy bit higher with compounding?


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Drove me crazy. Finally managed to find where to turn it off.

T212 must be cleaning up the UK investors. Nearly everyone who mentions them is looking to transfer in.
 
Paid off my tax in one lump.

Hated doing it, but got to say creating a personal tax account and verifying your identity with passport photo scan and passport chip scan via iphone is some fancy technology:D
 
beachBOYken said:
The Tax man caught up with me, had a letter that I paid to little tax last year, £550 I owe.

It says I don't need to do anything and they will take the tax from my wages/pension starting April, presume that means a new tax code, or I can pay the sum now.

Not sure what to do, as soon I will have a larger chunk in tax free savings, and how can I be sure the tax man will reduce my tax long term automatically without me having to phone them.

Do you think I'm better off just paying it off in one chunk now so they don't change my tax code for the year ahead?
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Should have taken the interest free loan :)
 
200sols said:
1 less day doesn't account for a £33 difference on that balance though.
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Its probably weekends as well.
Credit day isn't necessarily the calculation day.

1st transaction was 28th so looks like its pegging to that day. Dunno for sure but certainly part of the confusion is that saying that Dec is lower then Nov is because Dec interest includes the shorter month of Nov.
 
beachBOYken said:
The Tax man caught up with me, had a letter that I paid to little tax last year, £550 I owe.

It says I don't need to do anything and they will take the tax from my wages/pension starting April, presume that means a new tax code, or I can pay the sum now.

Not sure what to do, as soon I will have a larger chunk in tax free savings, and how can I be sure the tax man will reduce my tax long term automatically without me having to phone them.

Do you think I'm better off just paying it off in one chunk now so they don't change my tax code for the year ahead?
Click to expand...
Firstly I'd confirm the figures HMRC show on the tax form (P800), especially where they show banks and building society interest. Unfortunately those figures are NOT displayed if you login to Gov.UK. You can request a hard copy of interest which has been notified to HMRC by banks and building societies. BUT.... unfortunately in addition to the figures notified to HMRC HMRC sometimes use estimates to calculate the figure. I keep a meticulous list of my bank accounts and record interest payments and can compare them with the list held by HMRC. Last year it took me 4 phone calls to HMRC requesting hard print outs to confirm the figure. In the case of my wife they stated on P800 that she owed them approx £40 more than it should be and the reason was that they had used an estimated figure together with the bona fide ones.

I recently received my P800 and paid them £690.oo because I'd rather have my income (state pension and 3 occupational pensions) paid at maximum rate.

Additionally the figure of interest received is approx £2550.oo less than it should be because one building society had NOT reported to HMRC within the proper time frame, or it was sitting in an HMRC in-tray - I think they should report by 30 June, so I'm expecting a further P800 saying I owe them approx £510.

Two times I phoned HMRC I was speaking with people who were working from home. In one case the guy was unable to send me hard copies of interest because he didn't have access to a printer.......
 
Belly said:
Firstly I'd confirm the figures HMRC show on the tax form (P800), especially where they show banks and building society interest. Unfortunately those figures are NOT displayed if you login to Gov.UK. You can request a hard copy of interest which has been notified to HMRC by banks and building societies. BUT.... unfortunately in addition to the figures notified to HMRC HMRC sometimes use estimates to calculate the figure. I keep a meticulous list of my bank accounts and record interest payments and can compare them with the list held by HMRC. Last year it took me 4 phone calls to HMRC requesting hard print outs to confirm the figure. In the case of my wife they stated on P800 that she owed them approx £40 more than it should be and the reason was that they had used an estimated figure together with the bona fide ones.

I recently received my P800 and paid them £690.oo because I'd rather have my income (state pension and 3 occupational pensions) paid at maximum rate.

Additionally the figure of interest received is approx £2550.oo less than it should be because one building society had NOT reported to HMRC within the proper time frame, or it was sitting in an HMRC in-tray - I think they should report by 30 June, so I'm expecting a further P800 saying I owe them approx £510.

Two times I phoned HMRC I was speaking with people who were working from home. In one case the guy was unable to send me hard copies of interest because he didn't have access to a printer.......
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I checked the figures on the forms they sent me, it seemed correct to me, I was expecting this at some point. due to a lot of my savings not in tax free accounts currently.
 
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