Annual savings account statement and tax certificate

Your annual savings account statement explained
The annual savings account statement and certificate of tax deduction is in two parts. The first part is a statement which shows your account balance at 5 April 2008 and the amount of gross interest, the amount of tax deducted (if any) and the net interest paid during the tax year ended on 5 April 2008. In addition it confirms the date interest was last paid and tells you when interest is next due to be paid on your account.

The second part is a tax certificate which you may need if you have to complete a tax return or if you wish to reclaim from HM Revenue and Customs tax which has been deducted. The gross interest, tax deducted (if any) and net interest shown repeats the information shown on the statement part.

An explanation of the statement part is shown below. Interest is calculated on a daily basis, and is paid on the date(s) set for your account. Depending on the type of account you have selected, interest is paid annually, or monthly. The date of the most recent interest payment is shown on the statement (note 2 below), together with the next expected payment date (note 6 below). This statement and the tax certificate do not show the interest earned between 6 April 2007 and 5 April 2008, but the value of the interest paid during this period.

Note 1
This is the balance of your account at the close of business on 5 April 2008. This figure will include interest paid during the tax year, unless you have asked us to pay it to another account with us, or to your bank.

Note 2
This is the date of the most recent interest payment made for this account.

Note 3
This is the total gross value of interest paid for this account (ie before tax).

Note 4
This figure is the amount of tax we have deducted (if any) from the gross interest, and paid directly to HM Revenue and Customs.

Note 5
This is the net value of interest actually paid to you, ie after tax has been deducted.

Note 6
This shows the next expected interest payment date, and is determined by the terms of your account.