£100 Child Interest Taxed as Parents for 16 year Old

[TurboukToo2]

At what age does the rule regarding investment income greater than £100 for a "child" being taxed as if its the parents income? My 16 year old no longer qualifies for child allowance and can open a cash ISA but I cant see if his investment income in a long standing bare trust can now be taxed as his own rather than needing to be declared on my self assessment? Any ideas?

[genou]

At what age does the rule regarding investment income greater than £100 for a "child" being taxed as if its the parents income? My 16 year old no longer qualifies for child allowance and can open a cash ISA but I cant see if his investment income in a long standing bare trust can now be taxed as his own rather than needing to be declared on my self assessment? Any ideas?

As long as he is under 18 and unmarried, he is a "relevant child", and the income falls to the parents. https://www.legislation.gov.uk/ukpga/2005/5/section/629

[scrumpyjack]

Better for the grandparents to provide the money and then the income is not taxed as the parents income.

[pochisoldi]

Better for the grandparents to provide the money and then the income is not taxed as the parents income.

Or ensure that parent sourced money is kept in separate accounts from non-parent money, or put in the child's ISA.

[Chrysalis]

Yes my understanding is that it only gets taxed as the parents' if it was originally gifted from them.
So the suggestions to keep this separate seem helpful.