What are the differences between a joint account holder and an authorised person?
There are differences between a joint account holder and an authorised person that you need to know in order to decide which role you want to use in a joint current account. A joint account holder has, as a general rule, the same rights and obligations as an account holder. They are the owner, along with the other account holders, of the cash in the current account. The joint account holder can carry out all types of transactions and have access to the cash under the same conditions as the account holder. They also have the same responsibilities.
An authorised person on a current account can only carry out certain tasks. The account holders will determine which banking activities this person is authorised to carry out, such as withdrawing cash on their behalf, and may also revoke their authorisation whenever they see fit. The authorised person is not, at any time, regarded as an account holder and ceases to have access to the account in the event of the holder's death.
There are also differences between a joint account holder and an authorised person when it comes to tax. The joint account holders have ownership of the funds in equal parts and therefore must disclose the corresponding share in their annual tax return, while authorised persons have no tax obligations with respect to that account.