i'm a recent pensioner, and would like to clarify this exemption if anyone out there is in possession of the answer?
i receive no other income only the state pension and the interest from my deposit account. is the interest itself considered income when calculating if i go over the 20k threshold?
Just to remind you that the exemption threshold for 2011 is 18K for a single person over 65 and double that for a couple.
If your only income is full rate State pension (12K approx) then the next 6K of interest from savings is exempt but you will need to give your bank that instruction. Form DE1 needs to be filled and given to wherever your savings are held