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Thread ID: 114288	2010-11-26 02:31:00	Resident Withholding Tax	legod (4626)	PC World Chat

Post ID	Timestamp	Content	User
1156627	2010-11-26 02:31:00	So I got a letter today from the IRD telling me that the rate I'm on for my RWT on the interest in my bank account is wrong and that they will be increasing it. First I knew about it but 2 things spring to mind. Firstly, how many people end up being on the wrong rate after a while when their income increases? I bet loads - given the fact the last labour govt dragged their feet when it came to increasing the tax bands. Secondly, surely a flat tax (or no tax) on interest earned on bank accounts would remove all the unnecessary bureaucracy and paperwork on this, you'd think.	legod (4626)
1156628	2010-11-26 05:26:00	Ideally, no tax would be good on interest earned on any bank account, but the greedy ird want to take all they can get from everyone. I reckon the banks are all in cohoots with the ird on this! Wasn't always like this and I remember when if you had a bank account and it earned interest, it was all yours and no tax was paid. Can't remember when that was exactly though. Somewhere in the 80s? LL	lakewoodlady (103)
1156629	2010-11-26 05:27:00	At the end of the tax year you put this through on a tax return form. Although I do agree it would be a whole lot easier if there was one fixed tax rate. Few years back I added my wife to my Bank Account, the bank did not have here IRD number so we got taxed at the higher rate. Yet they had my IRD code, very interesting how the IRD do not deal with joint account interest though.	coldfront (15814)
1156630	2010-11-26 05:36:00	At the end of the tax year you put this through on a tax return form. Although I do agree it would be a whole lot easier if there was one fixed tax rate. Few years back I added my wife to my Bank Account, the bank did not have here IRD number so we got taxed at the higher rate. Yet they had my IRD code, very interesting how the IRD do not deal with joint account interest though. To quote Billy T James. Te tari Taake, "the total take". LL	lakewoodlady (103)
1156631	2010-11-26 06:23:00	I keep an account in England but since I don't live there I pay no RWT on it handy unless I actually want to use the money then it takes a day or so to process	gary67 (56)
1156632	2010-11-26 06:34:00	I keep an account in England but since I don't live there I pay no RWT on it handy unless I actually want to use the money then it takes a day or so to process Shame the pound is worth bugger all now though! Although with the plight of the Euro, the pound may pick up again sometime.	legod (4626)
1156633	2010-11-26 06:35:00	Ideally, no tax would be good on interest earned on any bank account, but the greedy ird want to take all they can get from everyone. I reckon the banks are all in cohoots with the ird on this! Wasn't always like this and I remember when if you had a bank account and it earned interest, it was all yours and no tax was paid. Can't remember when that was exactly though. Somewhere in the 80s? LL I pay no tax on my bank account left in the UK :) Come to think of it I rememeber the first 2000 quid earned was untaxed and if you were on a low income ie retired, uemployed etc below a certain thresehold it was tax free also.	coldfront (15814)
1156634	2010-11-26 06:35:00	At the end of the tax year you put this through on a tax return form. And how many people do this for their personal accounts?	legod (4626)
1156635	2010-11-26 07:28:00	I seem to recall it used to be the thing that we all had to do before it was "simplified". But even now you get a Tax return form sent to you to declare this savings tax so your choice really. Fill it in and claim it or just ignore it. You dont get nothing sitting on your hands if you think you are right or entitled to a refund.	coldfront (15814)
1156636	2010-11-26 08:35:00	Firstly, how many people end up being on the wrong rate after a while when their income increases? . Interest is something I pay to the bank not earn so I don't have that problem,.	pctek (84)
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