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SIPP investment timing re tax year

My wife and I have a small partnership as well as other income sources. We appointed an accountant to deal with our tax affairs but will not know our income/tax liabilities until after the tax year ends.

To minimise tax liabilities and to provide for the future We want to invest in a SIPP. Can we do that after the end of the tax year retrospectively when we know the financial position. Will the SIPP have to have been set up before the tax year ends or can it all be done before our tax return is filed

Comments

  • jem16
    jem16 Posts: 19,491 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Broadsword wrote: »
    To minimise tax liabilities and to provide for the future We want to invest in a SIPP. Can we do that after the end of the tax year retrospectively when we know the financial position.

    It cannot be done retrospectively. Contributions to any pension must be made in the tax year that you want tax relief for.
  • You may want to look at changing the accounting year of your partnership, so that you know the financial position before the end of the tax year and can adjust accordingly.
  • mania112
    mania112 Posts: 1,981 Forumite
    Part of the Furniture Combo Breaker
    jem16 wrote: »
    It cannot be done retrospectively. Contributions to any pension must be made in the tax year that you want tax relief for.

    Is carry forward not possible?
  • jem16
    jem16 Posts: 19,491 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    mania112 wrote: »
    Is carry forward not possible?

    You can use carry forward to utilise any unused annual allowance over the last three years but tax relief is limited to the tax year in which the contribution is made.
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