PTX - green light question unsure

topcat
topcat Trusted RegularRegistered Posts: 452
I think the second bullet point is correct not wrong? Savings income is taxed at £2790 unless

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Thanks

Comments

  • CeeJaySix
    CeeJaySix Well-Known Registered Posts: 645
    I'd say you're right - the first £2,790 (tax year 13/14) of taxable income from savings is at 10%. This of course assumes that earnings are below the personal allowance. HMRC examples here - http://www.hmrc.gov.uk/taxon/worked-examples.htm
  • topcat
    topcat Trusted Regular Registered Posts: 452
    CeeJaySix wrote: »
    I'd say you're right - the first £2,790 (tax year 13/14) of taxable income from savings is at 10%. This of course assumes that earnings are below the personal allowance. HMRC examples here - http://www.hmrc.gov.uk/taxon/worked-examples.htm

    Thanks Ceejay just like to confirm these things as i never know if i am missing anything
  • Makkusu
    Makkusu Feels At Home BournemouthRegistered Posts: 94
    The statement is not brilliantly written but I assume the key is in "on the first £2,790 of taxable income". Non-savings income is taxed first in the computation meaning it isn't always the case that 10% tax is payable on savings income.

    Although your understanding is correct, I would say the statement is false because of the stupid way it's written.
  • CeeJaySix
    CeeJaySix Well-Known Registered Posts: 645
    It's a stretch Makkusu but I can just about see that - meaning the 'assumption' in my above post is wrong! I thought ACA were bad for a bit of cheeky wording to trip you up, but that's a harsh question.
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