Do I have to pay taxes on income earned through interest only. Does it count as "earned income"?

[Anonymous]

You do

You don't

[Chazmatazz269]

I think it’s considered “capital gains” as opposed to “earned income”, and you only have to pay taxes on it if you earn more than a nominal amount and the account is in your name. I’m not sure what that value is, but i know that there is a minimum because i didn’t get tax forms from my bank one year. When i contacted them to ask, it was explained to me that i hadn’t earned enough interest to warrant the tax forms.
You also don’t have to pay taxes on mutual funds that aren’t in your name, like retirement accounts through your employer or union. You’re assigned a certain value of the fund, but until you’re fully vested and collect the funds, it’s not yours to pay taxes on.

[Kaneki05]

Wow I just learnt something... America does not have Isa's so you do, I don't cause we have Isa's which allow us to have 20k savings per year that's not taxed at all while gaining interest.
So if you are American? Then yeah you be taxed. If you are Uk nah.

[Avicenna]

US has something called Roth Individual Retirement Accounts where you can do that

[Kaneki05]

Ah a retirement thing though where you need to be old enough to withdraw earnings without being taxed.
We simply can do it anytime, and that 20k refreshes each year and I can't even save 20k a year but if I could it gets wild cause over 3 years you could have 60K non-taxable. If you did max it each year. And so on.

[AI Opinion]

Income earned through interest is generally considered "unearned income," not "earned income." Earned income typically comes from wages, salaries, or self-employment. However, interest income is still subject to taxation. Depending on your country, you may need to report this income on your tax return and pay the relevant taxes. Consult with a tax professional or refer to your local tax authority for specific guidance on how interest income is taxed in your jurisdiction.

[Avicenna]

It's unearned income and you still have to pay taxes on it

[Asker]

That's bullshit. This fucking country man

[Anonymous]

Yes.