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Santander £100 transfer incentive

In 2011 Santander offered £100 for transfers from accounts with other banks.

There were certain conditions to be met but generally it was offered to both Business and Private accounts.

It was described as a "Cash Back".

Any thoughts on how to treat this in a Sole-Trader situation???

There were no charges so surely not a discount.

It does not appear to be similar to the Halifax "Interest/bonus" scheme.

Is it an "Ex gratia" gift or Capital receipt to come into CGT.

I guess it all depends on how Santander have treated it in their accounts, but they have not responded.

Small beer but it's the principle !!

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By Hansa
14th May 2012 12:14

Sundry income?

If I couldn't debit it to bank charges (due to free banking etc), then I suppose I would debit "sundry income".

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I'd understood that these incentives

were treated as a payment of interest. If you check the Santander documentation, I think you should find that it's actually a gross payment of £125 with £25 basic rate tax deducted.

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