Tax on deposits of individuals: calculation procedure, interest

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

Most of the depositors do not think about the tax on deposits of individuals. Having opened a deposit, the client expects to receive the amount calculated by him based on the term, the interest rate of the deposit. And it often comes as a surprise to him that taxes must be paid on the profits received.

Not everyone knows about the obligation to pay

When opening a deposit, depositors for the most part do not suspect that they will have to pay taxes on the profits (interest from the deposit). This is due to several reasons:

• Banking institutions themselves report on the income received by the depositor, pay taxes. The main job of bank employees is to attract customers, so they very rarely mention this to ordinary depositors. As a result, the depositor learns about the need to pay income tax on deposits only upon closing it and receiving interest.
• Most of the funds placed by individuals are not subject to taxation.

It is important to understand that all income that is received in this country is subject totaxation. Income on deposits in the form of accrued interest is also the profit received by the depositor. This is a government-provided income opportunity fee.

Tax deductions are an honorable duty of a citizen. However, most savers are unaware that interest on deposits is taxable as passive income.

What the law says

The obligation to pay income tax on deposits arises in several cases:

• if a deposit is opened in rubles and the interest rate on it is 5% higher than the refinancing rate (since 2016, this rate has been equated to the key rate, which is 11%);
• when opening a deposit in foreign currency, the need to pay tax on deposits of individuals will appear if the rate on it exceeds 9% per annum.

Impact timing

If the term of the deposit is not more than three years, the rate that is specified at the conclusion of the deposit agreement is included in the calculation. And some banks offer floating interest rates that increase when certain conditions are met.

It is important to know that the bank deposit tax must be paid upon payment of accrued interest, and not at the end of the deposit term. That is, if the terms of the deposit provide for the payment of accrued interest every month, the tax will also be transferred to the budget every 30/31 days.

The Bank in the overwhelming majority of cases is a tax agent and itself calculates and transfers taxes on the deposit for the depositor. Moreover, he himselfsubmits tax returns (income declarations). Therefore, you can ask the bank for a 3-personal income tax certificate, which will be useful in the future to receive tax deductions.

What's good, to keep the secret of the contribution, its size is not indicated in the certificate. It contains only the amount of interest paid, which was involved in the calculation of taxes, and the payments themselves.

What are the options

The simplest deposit involves the accrual and payment of interest at the end of the deposit at the rate specified in the agreement. Here, the income tax on deposits will be calculated and paid at the end of the deposit term.

Let's take an example. The client placed a deposit of 500 thousand rubles for six months. The deposit rate is 21% per annum. The deposit is simple, without capitalization, without the possibility of contributions, payment of interest at the end of the term. Calculate the tax amount.

Determine the rate at which the tax will be calculated:

• 21 – (11 + 5)=5%.
• (500,000 x 5 x 181: 365: 100) x 35%=4339 rubles

This amount will be deducted from the amount of income that the depositor will receive at the end of the term.

Please note that the calculation is made according to the new rules. Or rather, according to the old ones, which from the beginning of 2016 began to operate again. In 2014, a law was passed that established a new level of income on deposits, which was not taxed. He assumed an increase in the refinancing rate by 10 percentage points. instead of 5 p.p. That is, the tax on deposits was paid only in excess of 18.25% per annum.

Thisthe law was in force from the end of 2014 until December 31, 2015

Tax on deposits in banks in foreign currency is calculated at the rate in force on the date of payment of accrued interest.

The interest rate may change during the term of the deposit. Then the tax will not be charged only when the rate was not higher than 16% (11 + 5) if the deposit is in ruble equivalent, or 9% in the case of a foreign currency deposit.

It is a little more difficult to calculate the tax on deposits of individuals if it provides for capitalization. There are also betting options that depend on the amount. In addition, each period will have its own tax base, because interest will be added to the deposit amount.

If the deposit is terminated early

The deposit agreement provides for early termination, in which the interest rate is recalculated in the direction of its reduction, and very tangible. Then the credit institution recalculates the amount of interest for the entire term of the deposit.

In this regard, the income that is subject to taxation disappears. And there is a need to return the accrued and paid amount of personal income tax. Art. 231 of the Tax Code of the Russian Federation indicates that the taxpayer can return the amount of tax overpaid by contacting the tax office at the place of residence with a written application.

What is important to know and understand

If the deposit is made for up to three years, you can not follow the refinancing rate (that is, the key rate) of the Central Bank of the Russian Federation. It is important only at the time of signing the deposit agreement. If all are metconditions, you will not have to pay tax on deposits in banks. An exception here will be the growth of the deposit rate itself: if it exceeds the threshold values, you will have to pay tax to the treasury.

If a depositor makes a deposit in precious metals, all income received by the depositor will be taxed. However, the settlement will be carried out at a rate of 13%.

Deposits in Sberbank

One of the most popular banks in the country also offers a wide range of deposits. They all have their own characteristics:

• Duration of the deposit. There are term deposits from three months. There are long up to three years.
• Deposit amount.
• Deposit currency (today you can make a deposit in three currencies: ruble, euro or US dollar).
• Capitalization. The interest rate depends on whether there is capitalization or not.
• Possibility of replenishment.
• The ability to manage the deposit yourself.

Sberbank depositors have the opportunity to open a deposit in precious metals, which have the following advantages:

• revenue is determined by the value of these metals on the market;
• no fees for opening and maintaining an account;
• no need to pay VAT;
• service speed is about 10 minutes.

The best option for today is a savings certificate, the rate of which is 11.5% per annum. However, it is not subject to compulsory insurance.

Another product to look at is"Keep" having 9.07%. Can be opened up to three years, does not provide for replenishment.

We conclude: there is no need to pay taxes on deposits in Sberbank. Bets on them do not exceed the allowable limits. However, do not forget that this does not apply to deposits with precious metals: it is paid from all income.

What's in Ukraine

Not so long ago, a single tax on deposits was introduced in Ukraine, which canceled the previous one, which was progressive.

Now the tax on deposits in Ukraine is 15%, and it is paid by all depositors regardless of anything. Previously, the rate was progressive, and the tax was paid if the amount of deposits exceeded UAH 20,000. With the growth of the amount, the rate also grew (25% had to be paid from income on deposits over UAH 1 million).

Most likely, this is done in order to prevent the fragmentation of the amount of savings into small parts for evasion.

A bank acts as a tax agent, as in the Russian Federation. He independently calculates the amount of tax from the depositor's deposit, makes the necessary transfers to the treasury. The bank performs these actions at the time of accrual and payment of interest. In order to preserve the secrecy of deposits, the institution does not indicate in the tax declaration the data of the depositor, the amount of the deposit, the accrued interest.

Note that these innovations will not affect card and current accounts, salary projects.

drawing conclusions

Let's formulate the main conclusions mentioned earlier:

Deposit interest is set by the credit institution and is prescribed incontract. The depositor himself chooses the rate based on his desires, opportunities and offers for deposits

• The refinancing rate is determined by the Central Bank of the Russian Federation. It determines the interest rate at which he lends to commercial banks. Also, with its help, they influence inflation.
• The tax on deposits of individuals is established by the state. The tax code spells out the calculation procedure. The amount of tax for residents of the country is calculated based on 35%, non-residents (citizens of another country) pay 30%.

Deposits are not subject to taxation if, at the time of signing or prolonging the agreement, the interest rates did not exceed the refinancing rate of the Central Bank of the Russian Federation + five p.p. However, there is a reservation that during the period of accrual of profit, the amount of interest on the deposit did not increase. And if from the date when the deposit rate became higher than the refinancing rate increased by 5 percentage points, a maximum of three years have passed.