Changes made to tax return re state pension

monza23 · 16 January 2018 at 1:28PM

After submitting my self assessment tax form last week, HMRC have sent me a SA Tax Calculation stating that they have made changes to the tax return as State pension box 8 figure differs from there records.

I submitted in box 8 the actual figure that I received during the tax year, there figure differs to mine by £305. I had calculated the payments from Dec 2016 to April 2017 monies received in my bank.
Can anyone please advise on how this may be possible.

The letter states that it does not affect my rights to amend my tax form.

The change makes no difference to any tax due !

Many thanks in advance.

p00hsticks · 16 January 2018 at 1:54PM

Are you getting your pension four-weekly ?

I may be wrong, but I have a feeling that DWP may supply HMRC with the weekly figures up to the end of the tax year on 5th April, even if they haven't actually paid it all out yet.

So if you recieve your pension payment in arrears around mid March, then there will be a couple of weeks pension for the end of March / start of April that fall into the old tax year that you are owed but haven't been actually paid yet.

Pennywise · 16 January 2018 at 1:56PM

It's not the amount actually received in the year that you declare, it's the amount which you "earned" in the year. There's usually a slight difference because it's paid 4 weekly, so at each year end, the payment will be x weeks at old rate and y weeks at new rate, but on your SA return, you should be declaring 52/53 weeks at the rate for that year.

monza23 · 16 January 2018 at 2:10PM

Yes I think that is it, I am paid every 4 weeks into my bank. If I divide the total then add the other weeks it adds up to the extra £305.

Will I need to amend my tax return or will they amend it, would you know !

Many thanks for replying.

xylophone · 16 January 2018 at 2:28PM

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/626131/SA100_2017.pdf

Box 8
State pension - amount you were entitled to receive in the tax year not the weekly or four weekly amount - read the notes.

Box 8 State Pension
Use the letter ‘About the general increase in
benefits’ that the Pension Service sent you to find
your weekly State Pension amount.
Add up the amount you were entitled to receive
from 6 April 2016 to 5 April 2017 and put the
total in box 8. Don’t include any amount you
received for Attendance Allowance.
If your State Pension changed during the year or
you only received it for part of the year, multiply
each amount by the number of weeks that you
were entitled to receive it. Add up your
amounts carefully.

If you don’t have the letter from the Pension
Service, phone them on 0345 606 0265
(textphone 0800 731 7339) and ask them for
the information.

badmemory · 16 January 2018 at 6:57PM

The actual figure is (normally as some years may be 53 weeks depending on your payday), one week at old rate, 51 at new rate. The figure the DWP pass to HMRC is normally incorrect at 52 at new rate. Well this is what mine is & also a friend's whose SA I file for them.

00ec25 · 16 January 2018 at 8:01PM

monza23 wrote: »

Can anyone please advise on how this may be possible..

the tax return box 8 expressly states: "amount you were entitled to receive in the year, not the weekly or 4 weekly amount - read the notes"

the notes tell you "Use the letter ‘About the general increase in benefits’ that the Pension Service sent you to find your weekly State Pension amount.
Add up the amount you were entitled to receive from 6 April 2016 to 5 April 2017 and put the total in box 8. Don’t include any amount you received for Attendance Allowance.
If your State Pension changed during the year or you only received it for part of the year, multiply each amount by the number of weeks that you were entitled to receive it. Add up your amounts carefully."

The state pension weekly amount as shown in the letter (always) increases in April, but after the start of the tax year, so you will have x weeks at the old rate and y weeks at the new rate where x + y = 52 (or 53 when applic). It is that total which HMRC has on its records and checks to your tax return

it is a great shame that HMRC are such stickers for this stupid rule given the sum of money involved and who it applies to, compared to those who have large incomes but manage to fiddle their tax anyway

monza23 · 17 January 2018 at 12:16PM

Thank you all !
So should I amend my self assessment tax return to there figure or will HMRC do this automatically.
Many thanks for your help !

xylophone · 17 January 2018 at 12:40PM

Thank you all !
So should I amend my self assessment tax return to there figure or will HMRC do this automatically.

After submitting my self assessment tax form last week, HMRC have sent me a SA Tax Calculation stating that they have made changes to the tax return as State pension box 8 figure differs from there records

HMRC have checked their records and already made the changes?

Changes made to tax return re state pension

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