Higher Rate Tax Payer and Pension

cja37_2

Hello everyone,

I am in the lucky/unlucky position of being a higher rate tax payer and I have been contributing into my work pension for approx 2 years. In December I elected to join the salary sacrafice scheme (higher contributions from employer). I have heard various mutterings about claiming back tax given that I pay the higher rate. Does anyone know if this is the case? If so, will it only apply to the period I have been in the salary sacrifice scheme?

Any help/advice would be very gratefully received.

Many thanks indeed,

C

anniecave

I would post this question on the pensions board

They are very knowledgable on there!

I think it all depends on how they are treating your tax on the salary sacrifice scheme.

Previous to this as you are a higher rate tax payer then your employer should have been claiming this tax back and adding it into your pension pot. If they have not been doing this then yes you are entitled to a refund from hmrc.

cja37_2

Thanks Annie!

Andy_L

Company pensions are (usually/always?) paid from your salary before tax so you get the relief automatically, it's only personal pensions that you have to claim back extra

KieranB

You cannot exactly claim the tax back as such however you can get tax relief

If your employer is contibuting then you are due no tax relief. Any contributions you make yourself will get an additional 25% added on. For higher rate tax payers they will also get further relief by a change in their tax code for the following tax year.

Like mentioned above, it is probably best to post in the pensions forum just to clarify the above.