What should i be looking for in a child's ssavings account? Are they tax-free or I do have to declare interest and pay tax on it?

What should i be looking for in a child's ssavings account? Are they tax-free or I do have to declare interest and pay tax on it?

Hi Flamenca

If you're looking to save in a normal high street children's savings account, fill out an Inland Revenue R85 and your children's savings will be taxed free.

If you're looking to invest (rather than save) then a Tax Exempt Savings Plan may be more suitable. All the returns are free from income tax and capital gains tax. However, the maximum you can invest here is £25 for each family member per month

Just dug this up. Click on here http://www.myeggnest.com/uploaded/documents/Inlandrevenuer85.pdf

Simply print out the forms and give it to your banks when you're opening the account and your children savings won't be taxed.

fab! Thank you very much!