Accumulation account
(Available to Isle of Man and Jersey office accountholders
only)
An accumulation account provides full private banking facilities
within our Focus service, except deposit interest is calculated and
accrued on a daily basis, but not added to the accumulation account
until closure. The minimum balance of £5,000 must be maintained on
the accumulation account if interest is to continue
accruing. Because interest is only applied when you close your
accumulation account, effectively, you decide when tax is
assessable on your deposit interest. For example, you may wish to
delay the receipt of interest until after retirement or a change of
residency, when your tax rate may be lower.
By deferring your interest, your annual tax return process
becomes simpler. You may not have to calculate the interest
received through the tax year or apply for a confirmation
certificate of interest received until the year of account
closure.
We can also offer a high interest
accumulation account for clients with over £50,000 (or currency
equivalent) to invest. This minimum balance must be maintained on
the high interest accumulation account if interest is to continue
accruing.
Your tax position will depend on your
personal circumstances and you should always seek guidance from a
professional tax adviser. It is the responsibility of the depositor
to declare any interest received to their relevant tax
authority.