Britons 'confused' about tax relief

Date: 7th March 2011

Britons are confused about the tax reliefs that are available to them, according to a new report.

Nationwide has claimed that many people in the UK fail to take advantage of their ISA tax break.

The comments come as the end of the tax year, and therefore the chance to make full use of an ISA allowance, fast approaches.

Robin Bailey, Nationwide's director for savings and investments, explained: "Our research shows that there is still a great deal of confusion and misunderstanding around ISAs and that people are still not taking full advantage of the tax breaks that they offer.

"We estimate that cash ISAs alone are saving consumers over £680 million in tax a year - clearly a substantial saving. A better understanding of ISAs could help consumers make more of their annual allowance, helping put more money into the hands of savers and investors."

The expert explained that putting the maximum £10,200 on April 6th last year would have resulted in total savings of up to £11,077.

Posted by Jacob Williams