Half of adults ‘paying too much tax’
Article Category: Debt Management Help and Advice
Some 48 per cent of Britons are paying too much tax on their savings, according to the latest research.
A study carried out by Britannia has shown that approximately half of the population have never had an individual savings account (Isa) and are therefore missing out on the tax-free savings such an account offers.
“It’s a shame that many of those who are saving are unnecessarily being taxed twice - firstly on their income and then again on their savings,” said Neville Richardson, group chief executive of Britannia.
Mr Richardson added that this 48 per cent are “financially worse off” due to this practice, which could be bad news for anyone attempting to ward off debt in the future.
According to the research, almost a third (30 per cent) of those interviewed did not know what an Isa is, with Mr Richardson bemoaning the number of “misconceptions” about the tax-free savings vehicle.
Earlier this year, Unbiased.co.uk said that demand for independent finance advice on Isas hit record levels in 2007.
For more information about debt management call our advisors on 08000 122 118 for FREE, no obligation help and advice.
Leave a Reply