Will my savings be taxed?

Will my savings be taxed?

Ian Green (Director) gives expert video advice on: Do building societies offer more interest?; How do I know I am getting the best deal?; What is a savings bonus? and more...

Your savings will be taxed. Your interest will be taxed at the same rate that you pay tax. For example, if you're a basic rate taxpayer, you'll pay 20% tax on your savings. A higher rate taxpayer will pay 40% tax on their savings. But a non-taxpayer can apply to have no tax on their savings at all. This is done via an R85 form available from HMRC, the Inland Revenue.