Personal Savings Allowance (PSA) & Redundancy
Posted: May 8th, 2019, 4:27 pm
Hi all,
I hope someone can help with a query I have. I have recently taken voluntary redundancy, left employment at the end of March with redundancy paid at the end of April. Other than the redundancy pay, the only other income I expect this tax year are non ISA interest payments between £500-£1,000 and up to £500 in non ISA dividend payments. My redundancy pay was approximately £70,000 with £30,000 being tax free, leaving £40,000 taxable. Does the £30,000 tax free redundancy pay get included in the adjusted net income calculation and hence determine whether I am a basic rate tax payer with a £1,000 PSA or a higher rate tax payer with a £500 PSA? Many thanks.
Regards
Paul
I hope someone can help with a query I have. I have recently taken voluntary redundancy, left employment at the end of March with redundancy paid at the end of April. Other than the redundancy pay, the only other income I expect this tax year are non ISA interest payments between £500-£1,000 and up to £500 in non ISA dividend payments. My redundancy pay was approximately £70,000 with £30,000 being tax free, leaving £40,000 taxable. Does the £30,000 tax free redundancy pay get included in the adjusted net income calculation and hence determine whether I am a basic rate tax payer with a £1,000 PSA or a higher rate tax payer with a £500 PSA? Many thanks.
Regards
Paul