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HMRC internal manual

Savings and Investment Manual

Savings and investment income: what is not in the Savings and Investment Manual

What is not in the SAIM

The SAIM covers the taxation of the most common forms of savings and investment income. However, you will need to consult other manuals for guidance in the following areas.

Business income

For the taxation of individuals or members of partnerships who receive interest etc. as part of a trade, see the Business Income Manual BIM40800.

Separate tax rules apply to the taxation of interest etc. received by companies and other corporate taxpayers. See the Corporate Finance Manual CFM30000.

See the Venture Capital Schemes manual (VCM10000) for details of tax reliefs for, and the taxation of income from, investments in small businesses.

Property, pensions, insurance policies and capital gains

The SAIM does not cover the tax treatment of certain types of asset that are commonly held by individuals and trustees as ‘investments’. For the taxation of

  • income from land and property, see the Property Income Manual (PIM);
  • income from pensions and retirement annuity schemes, see the Employment Income Manual (EIM74000) and the Pension Schemes Instructions;
  • the proceeds of purchased life annuities and life insurance policies (for example, endowments), see the Insurance Policyholder Taxation Manual (IPTM);
  • capital gains on various types of asset, see the Capital Gains Manual (CG).


The legislation governing the taxation of savings and investment income applies to all ‘non- corporate’ taxpayers, principally individuals and trustees. However, SAIM does not deal with the taxation of Trusts generally. See the Trust, Settlements and Estates Manual (TSEM).

Relief for interest paid

See the Business Income Manual and the Property Income Manual for guidance on tax relief for interest paid as part of a trade or a UK property business.

SAIM10000 onwards also has guidance on other circumstances in which tax relief may be given for interest paid, including relief for interest paid on loans to acquire an interest in a close company, partnership or employee controlled company.

Beneficial loans to employees

See the Employment Income Manual (EIM26100) for guidance on the taxation of interest-free or low-interest loans by an employer to an employee.