COMPLETING YOUR TAX RETURN. WHAT YOU NEED TO TELL THE TAXMAN 2007 - 2008

INTEREST VOUCHERS A

Click here for an example of an interest voucher and an excerpt from the income tax return for 2007 - 2008.

When you receive an interest voucher you should transfer the figures in the net *interest distribution* box into the corresponding boxes on your tax return.

Helpful Hint

Authorised *unit trusts* and *OEICs* invested in UK *shares* usually pay *dividend distributions*

The voucher will show that income tax has been deducted at 20%. If you are a higher rate taxpayer you will have further tax to pay to HM Revenue & Customs. If you are a basic rate taxpayer you should have no further tax to pay on the distribution. If you are a non-taxpayer or a lower rate taxpayer, HM Revenue & Customs may repay some or all of the UK income tax.

DIVIDEND VOUCHERS B

Click here for an example of a dividend voucher and an excerpt from the income tax return for 2007 - 2008.

When you receive a *dividend* voucher you should transfer the figure shown in the dividend box into the corresponding box on your tax return. The tax credit amount and equalisation amount should not be entered onto your tax return.

For the 2007 - 2008 tax year, the tax credit was 10%. If you are a higher rate taxpayer you will have further tax to pay to HM Revenue & Customs. If you are a basic, lower rate or non-taxpayer, you should have no further liability, however, no part of the tax credit may be reclaimed.

*The tax credit amount and equalisation amount should not be entered onto your tax return.

* Extracts from the 2007/2008 Tax Return reproduced by the kind permission of HM Revenue & Customs. To the best of our knowledge and belief, the information contained in this factsheet is accurate as at 7 April 2008.

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