Pension tax relief can now be claimed online
Higher and additional rate taxpayers can use a new online form to claim additional tax relief on pension contributions. Can you accelerate relief?
HMRC has launched a new online form to make it easier for taxpayers to claim additional tax relief on their pension contributions. Claimants can login using their Government Gateway user ID and will need to supply proof of the pension contributions from the pension provider.
The service is only available to taxpayers that are not in self-assessment, i.e., taxpayers that only have PAYE income, whose marginal rate of tax is 40% or 45%. This would only be necessary where there is further tax relief to claim, such as where personal pension contributions are made or workplace pension contributions that are not under a net pay arrangement. Advisors cannot use the online service and must continue to make such claims for clients by post.
Once the form has been submitted, HMRC should respond within 28 days which is much quicker than if the claim is sent by post.
Related Topics
-
Should you revoke your 20-year-old option?
Your business has let out a building to a tenant and it is now just over 20 years since you opted to tax the property with HMRC. Should you revoke it so that your tenant no longer needs to pay VAT?
-
Chip shop owner fined £40k for hiring illegal worker
A Surrey fish and chip shop owner has been left in shock after being fined £40,000 for allegedly employing someone who didn’t have the right to work in the UK, even though he conducted a right to work check. Where did this employer go wrong and what can you learn from it?
-
Change to IHT on pensions proposals
HMRC has published a policy statement announcing an important change to its plans to include pension savings in an individual's estate for inheritance tax (IHT) purposes. What’s the full story?