Bank and building society interest - Example 17

Mrs White retires to live in Spain. She keeps savings in her UK bank but doesn’t complete form R105 because she didn’t know that she could. Instead Mrs White makes a claim for repayment to HM Revenue & Customs every year.

Mrs White dies a couple of years after leaving the UK. Mrs White’s daughter, Mrs Black, lives in the UK and is the executor of her late mother’s estate. Mrs Black completes a form R105(PR) and hands it to XYZ Bank. XYZ Bank pay interest without tax taken off.