Tax Form P55
Comments
-
Clivep congratulations on your successful navigation of P55!
Perhaps you can help with a question. I am helping my aunt reclaim and we have both become confused by the wording of question 13)
"13 Have you or do you expect to receive income from any UK pension during the tax year 2017 to 2018?"
It then asks for in a table "Full amount of any UK pension income you expect to receive before tax is taken off" (let's call this answer A)
And then a second table "Details of pension flexibility payments paid as lump sums. Do not include any non-taxable element of the payment" asking for "Tax deducted"(answer
and "Taxable lump sum" (answer C)
My aunt has previously withdrawn her 25% tax free lump sum in another tax year and has this tax year made a lump sum withdrawal of £10k which has been taxed at the emergency rate.
We are confused whether £10k shd be filled-in twice I.e. Answer A= Answer C?
Such that 'Full amount of UK pension income' includes the 'flexibly accessed lump sum'
Or actually in her case Answer A = zero and Answer C = £10k
Such that pension income is asked for in case you are also taking a regular income from another (or indeed the same?) pension.
Hope my question is clear (sorry if I'm being daft) and appreciate any help0 -
I would say you don't declare the £10k at A but do need to show it at C (with the tax at.
If she has other pension (ignoring the state pension which goes into section 14) that must be shown at A.0 -
That is very much the answer I was heading for, thanks!0
-
Dazed_and_confused wrote: »I would say you don't declare the £10k at A but do need to show it at C (with the tax at.
If she has other pension (ignoring the state pension which goes into section 14) that must be shown at A.
Agreed.
It could have been worded clearer. The "UK pension income" relates to the gross amounts expected to be received in the year from sources other than the UFPLS that you are claiming the refund for.
e.g. For my wife's refund claim the "UK pension income" section contained the annual amount of her small NHS pension and small annuity whereas mine was zero.
For your aunt's claim the £10k is crystallised so is all taxable and needs to be shown at C (Pension flexibility lump sum payment) with the tax paid at B.0 -
I submitted my online P55 form on Thursday, and the online progress states a completion date of 31st July. I just hope its sooner.0
-
clivep
My wife has received her tax refund via the Form P55 and that was fine. She has now just received a letter telling her that a Self Assessment record has been set up for her, so does that now mean she has to complete a Self Assessment return every year, as stated in the letter? Is this your experience and is it the norm after you have claimed UFPLS as a non tax payer? Thanks.0 -
clivep
My wife has received her tax refund via the Form P55 and that was fine. She has now just received a letter telling her that a Self Assessment record has been set up for her, so does that now mean she has to complete a Self Assessment return every year, as stated in the letter? Is this your experience and is it the norm after you have claimed UFPLS as a non tax payer? Thanks.
If it's a one off, then that's probably just an automatic letter, if you ting them up they'll probably cancel it.
I had the opposite last year, did a sa return and then notice I didn't need to complete one for this year, but I'll have to do one given my tax situation, their systems aren't great, but not terrible either.0 -
Hi
Thanks very much for the reply. So if she does the same again next April, i.e. Put £2880 into her SIPP and then withdraw the £3600 in the same tax year, and only has her state pension as any other income, which in total, is still below her Personal Tax Allowance. Do you think she would still need to complete one?
She also had a tax code notice of 203N X which is basically what she has left of her tax allowance for this tax year after her SIPP withdrawal this tax year, (this was the first time she has withdrawn from the SIPP and was originally charged tax on an emergency tax code).0 -
Hi
Thanks very much for the reply. So if she does the same again next April, i.e. Put £2880 into her SIPP and then withdraw the £3600 in the same tax year, and only has her state pension as any other income, which in total, is still below her Personal Tax Allowance. Do you think she would still need to complete one?
She also had a tax code notice of 203N X which is basically what she has left of her tax allowance for this tax year after her SIPP withdrawal this tax year, (this was the first time she has withdrawn from the SIPP and was originally charged tax on an emergency tax code).
Shouldn't have to but ring them and get confirmation, in my experience ringing at 8am or a bit before means you get through very quickly.
If they say you need to submit self assessment and don't then you can get penalised even if you never actually needed to.
I've got a sort of opposite problem, they've advised of the interest and other income I'll receive this tax year and amended my tax code, saying I now don't need to submit a return. But as for last year I'll be making additional pension contributions and vct investments, I might see if they'll change my tax code back but might be easier just to wait to the start if the new tax to year and do self assessment anyway me then get the refund, I'll be subsiding the governments cash flow as well which makes me feel suitably proud of my public spiritedness.0 -
Thanks for the reply, as you say, probably best to ring them anyway. I think i rang them before at that time on Saturday and got straight through.
You are a good citizen ! Every little helps as they say
0
This discussion has been closed.
Categories
- All Categories
- 343.1K Banking & Borrowing
- 250.1K Reduce Debt & Boost Income
- 449.6K Spending & Discounts
- 235.2K Work, Benefits & Business
- 607.8K Mortgages, Homes & Bills
- 173K Life & Family
- 247.8K Travel & Transport
- 1.5M Hobbies & Leisure
- 15.9K Discuss & Feedback
- 15.1K Coronavirus Support Boards