Tax and State Pension

givememoney

My husband has been told his state pension which he will collect in December will be £200 per week.

Does he get the full amount or will he have to pay tax on this amount as it will be over the £9,000 odd personal allowance?

roddydogs

£200 pw State Pension? How?. Yes its taxable, as are all pensions.

givememoney

roddydogs wrote: »

£200 pw State Pension? How?. Yes its taxable, as are all pensions.

You ask `how`, I have no idea other than he never contracted out of SERPS.

seven-day-weekend

Probably it will be virtually doubled by his SERPS then and if it is over his personal allowance he will have to pay tax on it.

However, I think they pay it gross and you have to fill in a tax return (might be wrong about this though).

EdInvestor

givememoney wrote: »

My husband has been told his state pension which he will collect in December will be £200 per week.

Anyone with a full NI record going back to 1978 and an average or better salary over the working life should be eleigible for a decent state second pension if they have not been contracted out into a company pension..

Does he get the full amount

it will be paid gross by the DWP

... or will he have to pay tax on this amount as it will be over the £9,000 odd personal allowance?

Yes he will have to pay tax on it. HMRC should send a simple form asking about pension and other retirement income once the pension starts being paid.If it doesn't arrive, contact your local tax office.