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PPI tax back

0 replies

Cee123 · 14/03/2023 18:32

Hi, I’m just trying to complete HMRC form R40 and am very confused when I get to critical section 3. Can anybody help me?

Santander bank 123 account pays interest = 125.73
i transferred monthly amounts into another Santander account which paid a different interest rate = £36.88
I had an ISA, interest = £89.20

Re PPI payouts, I had 4

HSBC 1.
PPI Premium redress = £1452.44
Plus taxable interest at 8% = £2101.74
Less basic rate income tax = £420.35
Policy total £3133.83

HSBC 2.
PPI Premium redress = £239.49
Plus taxable interest at 8% = £272.81
Less basic rate income tax = £54.57
Policy total =£457.73

Total HSBC cheque paid out = £3591.56

MBNA3.
they did not uphold the PPI complaint, but told me on the phone today that HMRC guidance said they had to pay ‘Commissions and Profit Share’ so they paid me a cheque = £81.16 of which they told me today that tax = £6.38

YBS4.
Paid out cheque = £545.66. This covers the following:
refund of premiums paid = £271.44
8%/15% simple compensatory interest on refund =£342.78
less 20% tax, on interest element, (paid direct to HMRC) = £68.56

so... given all that, what goes in each section on 3.1, 3.2, 3.3, and 3.4??? I don’t understand the accompanying notes at all regarding this section.

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