Bank, Building Society and Other Interest returns - changes to reporting requirements for 2015 to 2016
Details of the main changes to the guidance notes for reporting Bank and Building Society Interest (BBSI) and Other Interest (OI) to HM Revenue and Customs (HMRC) for the tax year 2015 to 2016.
There are a number of changes to the reporting requirements under Schedule 23 of Finance Act 2011 and the Reporting of Savings Income Information Regulations 2003 (SA 2003/3297) for the tax year 2015 to 2016.
Data encryption continues to be at the forefront of what HM Revenue and Customs (HMRC) does. The Return Problem Solver and the Returns Bulletin have been revised to remove the ongoing situation information as it goes out of date over the time period that the guidance notes remain current. The latest information, as provided by the bulletin, is published as and when necessary.
HMRC cannot insist that data transfers are encrypted but the Data Protection Act puts the responsibility for security firmly on the sender of the data until it is received at its intended destination.
Deeply discounted securities
HMRC has the power to ask for more information than they currently do about this type of investment. They are not using that power this year. If, in the future, HMRC chooses to increase the amount of information that they want you to put on your return they will announce that widely. Until then, the amount of information needed about deeply discounted securities will remain as per section 4 of the guidance notes.
National Insurance numbers
Schedule 23 to Finance Act 2011 relies on further regulations to make a complete system of possible returns. These further regulations are called the Data-gathering Powers (Relevant Data) Regulations 2012. They contain provisions for HMRC to require National Insurance numbers for accounts opened from 6th April 2013 onwards. As previously reported in Revenue and Customs Brief 39/12, HMRC still does not to require you to report new National Insurance number information on accounts opened from that date. The guidance notes contain a fuller explanation of what existing reporting is still required. If in the future, HMRC increases the amount of information required on your return they will announce that widely.
New Schedule 23 report of Payment Protection Insurance (PPI) redress payments
HMRC are introducing a new return under Schedule 23 FA 2011 using the European Union Savings Directive format and guidance rules. The data required in this return will be details of the PPI redress payments to those customers and former customers who now live in the European Union (EU). For this purpose HMRC has made all the EU Member States into Additional Fully Reportable Countries. The return has been called the PPIAFRC return and full guidance for its completion is available.
Published: 30 October 2015
From: HM Revenue & Customs