PTC - NS&I Interest Question

System
System Posts: 100,534 🤖 Admin 🤖
edited 10:26AM in AAT student discussion
Could someone enlighten me on the difference (if any) for tax purposes between interest on National Savings Investment Accounts and on National Savings Easy Access Accounts.

Thanks

Chris

Comments

  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:PTC - NS&I Interest Question

    I probably haven't got a clue here, but would investment accounts be long term savings where you get a higher interest rate but have to give notice i.e. 1 month to withdraw money and instant access is exactly that - you can get your money whenever you want but the interest rate is lower??

    I can only assume you may pay more on the investment as you would have more in it?

    Sorry if that's completely useless - not done much on tax yet, but it was just a thought....
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:PTC - NS&I Interest Question

    I'm absolutely positive it's the amount of tax taken at source. I'll try to remember to look at my notes tonight.
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:PTC - NS&I Interest Question

    A quick look at the HMRC website suggests to me they're both the same for tax purposes - didn't think of looking there before I posted here for some reason. Happy to have a second opinion on this though purplegirl

    A few of the exercises I've been doing have both types of account in so I wondered if they might have been different.

    It wasn't really what I was after PP, but thanks anyway :)

    Chris
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Re:PTC - NS&I Interest Question

    Yes they do look the same

    http://www.hmrc.gov.uk/individuals/nsi.htm#investmentaccount

    Neither are taxed at source like normal savings accounts.

Categories

Privacy Policy