Personal Savings Allowance Changes

Investments from April 2017

 

From 6th April 2017, your Personal Savings Allowance will also cover interest from certain types of investments. The Personal Savings Allowance gives basic rate taxpayers up to £1,000 of savings income tax-free, and higher rate taxpayers can receive up to £500 tax-free. There’s no allowance for additional rate taxpayers.

New legislation means that income tax will no longer be deducted at source from interest distributions from Open-Ended Investment Companies (OEICS), Authorised Unit Trusts (AUTs), Investment Trust Companies, and peer to peer loans from April 6th 2017.

You can find out more about the changes and what they mean for you on the HMRC website.