Taxation of Savings

How is interest taxed?

Taxation of Savings

Since 1st September 2006, all savings generating interest are subject to taxation. The tax rate is 15% of the total sum of interest.

What is taxable?

  • Interest credited in a bank account or in a bank deposit account
  • Yield and profit on Investment certificates
  • Yield and profit on Interest-bearing bonds and gilts

How to declare?

The tax on interest has to be deducted by the bank after paying the interest. The bank pays the deducted tax to the Authorities, therefore clients do not have to pay or declare it separately.

Further reading

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