Pension Carry Back

Unbelievable_2

Got it - thanks DFC!  :D

Oo,Oo - I don't suppose you can have carry back on a basis year that's in the future can you? ::)

and what if some of the earnings were for a lump sum compensation and therefore not considered pensionable? (Scraping the bottom of the barrel now uh!) :-[

Debt_Free_Chick

Got it - thanks DFC!  :D

Oo,Oo - I don't suppose you can have carry back on a basis year that's in the future can you? ::)

You're pushing the limits of my knowledge here but logic suggests "no". All that carry back does is to allow you to ask for the contribution to be treated as though it had been made in the previous tax year. Usually, as you missed making the full contribution that year or because you did not or could not assess your income for that (earlier) tax year until after 6 April.

and what if some of the earnings were for a lump sum compensation and therefore not considered pensionable? (Scraping the bottom of the barrel now uh!) :-[

Agreed - compensation is compensation and cannot be classed as earnings. To be on the safe side, earnings are all the normal taxable payments you receive e.g. basic pay, overtime, bonus etc. There is a technical definition in the tax legislation, but if you stick to the "Plain English" version above you won't go far wrong

HTH

Unbelievable_2

Many thanks DFC.

isasmurf

Oo,Oo - I don't suppose you can have carry back on a basis year that's in the future can you? ::)

There used to be something called carry forward, where you could use your unused pension allowance in a future year, but this was abolished when Stakeholders were introduced.