Labour Party government’s tax arm has updated its ‘claim tax relief on your private pension payments’ and said: “Use this service to claim tax relief on your personal pension and workplace pension scheme.”
HMRC is handing people with a private pension tax relief – thanks to a new tool. The Labour Party government’s tax arm has updated its ‘claim tax relief on your private pension payments’ and said: “Use this service to claim tax relief on your personal pension and workplace pension scheme.”
The ‘Who can claim’ section has been updated to include eligible basic rate taxpayers and the ‘What you’ll need’ section tells users when they must send or upload evidence. If you complete a Self Assessment tax return, you must claim through your tax return (for the current tax year and any previous years).
Use the HMRC service if you are claiming tax relief through your tax code for just the current tax year, the tax arm urges.
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To be eligible to claim tax relief you must be a basic rate taxpayer that pays into a workplace pension but the employer does not or will no longer claim tax relief, a basic rate taxpayer that pays a lump sum into a personal or workplace pension that is not under a net pay scheme or an intermediate rate taxpayer or a higher rate taxpayer that pays into a personal or workplace pension.
To claim tax relief on your personal and workplace pension payments, you’ll need to know your National Insurance number, the type of pension, the name of the pension provider, the net amount of pension contributions for each tax year you’re claiming for and your payroll number or reference number.
You’ll need to upload or send proof from your pension provider of payments made for each tax year you’re claiming for, where any of the following apply they’re more than £10,001, you paid a lump sum and you are a basic rate taxpayer and no tax relief has been claimed at source.
You’ll need to sign in with your Government Gateway user ID and password (if you do not have a user ID, you can create one when you first try to sign in). HMRC explains: “We will review your claim and contact you within 28 working days.”
