In most cases you will receive the interest from a Building Society account net of tax at 20%, so you will only receive 80% of the figure quoted in their advertisement. If you are a non taxpayer you can apply to have the interest paid to you without deduction of tax.
I am always confused when I read advertisements for Building Society accounts, they always quote a “Gross” interest rate, is this the amount I will receive?
by Hannah | Dec 16, 2010 | Financial Clinic | 0 comments