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Possible Answers:
TESSA.
Last seen on: Daily Beast Crossword Tuesday, 13 June 2023
Random information on the term “TESSA”:
In the UK, the tax-exempt special savings account (TESSA) was one of a number of tax-free savings accounts. The TESSA was announced by John Major in his only budget as Chancellor of the Exchequer in 1990 (the “budget for savings”) and at first had a five-year lifespan. The TESSA was intended to be a low-risk complement to the personal equity plan (PEP) which would be attractive to a wider range of savers. The accounts were replaced by Individual Savings Accounts in 1999.
An individual aged 18 or over was able to open a TESSA with a bank, building society or other financial institution from 1 January 1991 to 5 April 1999. A specific requirement was the presentation of the applicant’s National Insurance number, to ensure only one TESSA (tax free) account investment could be operated by the individual per year. Interest on the TESSA was free from UK income tax. The favourable tax treatment of a TESSA lasted for five years, and it was possible to invest up to £9,000, with a maximum investment of £3,000 in the first year and £1,800 in each of the second to fifth years (although, if the maximum was invested in the first four years, only £600 could be added in the fifth year). Withdrawals were permitted within the first five years: tax relief was clawed back if any of the invested capital was taken out, but withdrawals of interest did not trigger a clawback of the tax relief.