Thanks very much.
In the form for assessment of parents income I'm confused about whether a chargeable event gain from the sale of an investment bond counts towards overall income for assessment purposes? Top slicing relief meant that no tax was paid on the gain. Should that one off sum be included as income for that year?
Thanks very much.
If your parents are unsure what their taxable income is, they can login to the HMRC website online as it will display the figure there.
Interest from a bank, building society or local authority, this source of income may not reach or exceed the applicable tax free personal allowance should still be declared
Interest from National Savings (other than first £70 of National Savings Ordinary Account interest) and Investments
Interest distributions from authorised unit trusts and open-ended investment companies*
Dividends from shares, UK authorised unit trusts and open-ended investment companies*
Pensions including private pensions, state pension, pensions from previous employers, personal pensions, retirement annuities and superannuations
Other income and lump sums (Pension lump sums, pension payment or redundancy payments)
Earnings from employment
Earnings from self-employment (After deduction of allowable expenses)**
Self Employment Income Support Scheme (SEISS)
Rent from letting property
Income from the 'Rent a Room' scheme
Income from taxable benefits in kind
Chargeable event gains from life insurance policies (Excludes lump sums)
Income from outside the UK
Share of joint income
Foster Care Payments
Non Taxable Income
Income from tax-free National Savings and Investments (Savings certificates)
Interest, dividends and other income from investments held in a Personal Equity Plan (PEP)
Interest, dividends and bonuses from a Tax Exempt Special Savings Account (TESSA), unless it was closed before the five years were up
Interest, dividends and other income from an Individual Savings Account (ISA)
Interest and terminal bonuses under the Save As You Earn schemes
Premium Bonds, National Lottery winnings or gambling prizes
Child and Working Tax Credits
Income from a scholarship, stipend, exhibition, bursary or similar educational endowment
Capital Gain or Capital Allowance figures, usually declared on business accounts or tax returns
Payment Protection Insurance rebates
Life insurance policy lump sums (Including endowment policies)
Student Finance Payments