HMRC has updated its guidance on European Directive 2003/48/EC on the taxation of savings in the form of interest payments, and the corresponding legislation which implements the Directive in the UK.
The Reporting of Savings Income Information Regulations, SI 2003/3297, which came into force on 1 July 2005, set out the detailed rules for implementation in the UK.
The Directive aims to combat tax evasion by individuals on cross-border savings income and provides for information to be collected about the payment of savings income to residents in certain other countries and exchanged automatically with tax authorities in those countries.
The latest version of the guidance (version 8) covers the following developments:
changes affecting the reporting of sales/redemption proceeds in relation to UK authorised investment funds as a result of the revision of the assets test from 40% to 25% with effect from 1 January 2011;
changes following the end of the grandfathering period at 31 December 2010 for certain types of bonds; and
changes as a result of Belgium ceasing to be within the transitional arrangements from 1 January 2010.
HMRC has updated its guidance on European Directive 2003/48/EC on the taxation of savings in the form of interest payments, and the corresponding legislation which implements the Directive in the UK.
The Reporting of Savings Income Information Regulations, SI 2003/3297, which came into force on 1 July 2005, set out the detailed rules for implementation in the UK.
The Directive aims to combat tax evasion by individuals on cross-border savings income and provides for information to be collected about the payment of savings income to residents in certain other countries and exchanged automatically with tax authorities in those countries.
The latest version of the guidance (version 8) covers the following developments:
changes affecting the reporting of sales/redemption proceeds in relation to UK authorised investment funds as a result of the revision of the assets test from 40% to 25% with effect from 1 January 2011;
changes following the end of the grandfathering period at 31 December 2010 for certain types of bonds; and
changes as a result of Belgium ceasing to be within the transitional arrangements from 1 January 2010.
