SIPP contribution

triplea35

I have a small SIPP the contributions based on the allowable tax paid on my part time self employment. I am a basic rate tax payer with a taxed pension which I appreciate I can't take into account.
If I make £10000 net profit should my maximum net contribution be £8000 and the gross contribution (with tax relief) be £10000?

I thought this was the case, but just questioning it, as whilst completing 17/18 self assessment I was reviewing my 16/17 return and appear to have mistakenly declared my net contribution and the gross contribution was greater than my net profit by about £1k. It hasn't been picked up on by HMRC (as yet!)

If I was wrong I suppose I should just contact HMRC and explain and offer to pay the £200 tax on the £1k?

zagfles

triplea35 wrote: »

I have a small SIPP the contributions based on the allowable tax paid on my part time self employment. I am a basic rate tax payer with a taxed pension which I appreciate I can't take into account.
If I make £10000 net profit should my maximum net contribution be £8000 and the gross contribution (with tax relief) be £10000?

Yes.

I thought this was the case, but just questioning it, as whilst completing 17/18 self assessment I was reviewing my 16/17 return and appear to have mistakenly declared my net contribution and the gross contribution was greater than my net profit by about £1k. It hasn't been picked up on by HMRC (as yet!)

If I was wrong I suppose I should just contact HMRC and explain and offer to pay the £200 tax on the £1k?

Or just ask your SIPP provider for a refund. A refund is allowed in this circumstance, see https://www.gov.uk/hmrc-internal-manuals/pensions-tax-manual/ptm045000#Refundecls