Tax deducted from a widows occupation pension??

Jaqb

Please could someone advise me! My husband died Two years ago aged 47, I was 44 at the time (too young to qualify for widows allowance!) I am on Incapcity benefit and have started receiving a widows occupational pension from my husbands work. I am having tax deducted from this. Should I be paying tax on this? Thank you

xylophone

This would depend on your total taxable income/benefits.
http://search2.hmrc.gov.uk/kb5/hmrc/contactus/view.page?record=hpkspulskxM
Contact HMRC.

antrobus

xylophone wrote: »

...Contact HMRC.

Best advice given the lack of data.

Both IB and the widows occupational pension would be taxable, so if the total exceeded £8,105 then tax would be payable. I would imagine that the pension provider should be paying the pension after applying a tax code of 4-something to take account of the IB.

RichandJ

Income Tax is deducted on total income, as the name suggests, regardless of source.

What you can do is contact both HMRC & your pension payroll to ensure that the correct tax code is applied and, therefore, the correct tax is taken from your overall income.

State benefits, e.g. Incapacity Benefit, are paid gross of tax to you, but they are taxable so HMRC will include them in the calculation of your tax code.

Jaqb

Thank you all for your advice. I am contacting HMRC via your link. thank you xylophone