Can I claim personal pension contribution tax relief (higher rate) online?

werutd

I'm a higher rate tax payer and have to write to HMRC every year to tell them about the pension contributions I've made so I can get the additional (higher rate) relief.  I usually do this after the end of the tax year as I sometimes make a pension top-up in March so I only know the total for the year after that.

Does anyone know if I can do this online instead of by letter?  Perhaps via the "personal tax account" online feature that seems to hint that I might be able to tell them about this kind of thing but I can't seem to find the option?

Thanks.

ratechaser

Why aren't you doing this via the online self-assessment process? I did mine yesterday, you get an instant calculation of the overpaid tax, and based on prior years, I typically get the money from HMRC within a few weeks...

Not really complicated, so interested as to why you are writing letters here?

Albermarle

ratechaser said:

Why aren't you doing this via the online self-assessment process? I did mine yesterday, you get an instant calculation of the overpaid tax, and based on prior years, I typically get the money from HMRC within a few weeks...

Not really complicated, so interested as to why you are writing letters here?

I was doing this until last year but now I have been informed by HMRC that I should not use SA in future, and presuming I will have to find a way of telling HMRC each year, like the OP. I presumed you could do it via the on line personal tax account but I have not tried it yet.
No idea why I was taken off SA . Maybe because this pension point is the only one non standard issue as all other issues like benefits in kind are sorted out by my employer taxing them at source.

NoMore

Yes you can do it online, either by a simple online chat, or using the personal tax account. Having done both I prefer the online chat as feedback is immediate on whats happening, while the tax account method you wait a few days for a response.

[Deleted User]

NoMore said:

Yes you can do it online, either by a simple online chat, or using the personal tax account. Having done both I prefer the online chat as feedback is immediate on whats happening, while the tax account method you wait a few days for a response.

I just went into my online account and I can't see how to do it.

ratechaser

Albermarle said:

ratechaser said:

Why aren't you doing this via the online self-assessment process? I did mine yesterday, you get an instant calculation of the overpaid tax, and based on prior years, I typically get the money from HMRC within a few weeks...

Not really complicated, so interested as to why you are writing letters here?

I was doing this until last year but now I have been informed by HMRC that I should not use SA in future, and presuming I will have to find a way of telling HMRC each year, like the OP. I presumed you could do it via the on line personal tax account but I have not tried it yet.
No idea why I was taken off SA . Maybe because this pension point is the only one non standard issue as all other issues like benefits in kind are sorted out by my employer taxing them at source.

When Mrs RC went part time many years ago, HMRC wrote to her as well to say she didn't need to submit a SA any more, believe there's an income threshold below which they ignore you if you're on PAYE. 

Not sure if that's still the case and could be the reason they told you not do do SA, but my understanding is that it's up to the individual to determine if a SA is needed, because their tax calculation might otherwise be incorrect.

I'd certainly be interested if HMRC are actually telling people that they cannot use SA any more...

JimmyTheWig

I have to do this every year, too.
I have to phone them to tell them the details then they ask me to send in proof of the amount I've paid.

They've never suggested I could do it online or via SA, so interested to hear how people do it.

Albermarle

I'd certainly be interested if HMRC are actually telling people that they cannot use SA any more...

After many years of SA and no change in circumstances ( 40% taxpayer) I received a letter from HMRC in June 2019.

Informing me that the SA for 18/19 would be the last one I should complete. In future I should update info on line with my Personal tax account .  I have not actually tried to do it yet as the new tax year has only just started.

As said the only non standard part of my SA was the personal pension contributions ( over and above my regular workplace ones ) It used to be that all 40% taxpayers had to fill in SA but clearly there has been a change .

kuratowski

Even though in my circumstances I am still required to file a SA return, I've been using the digital tax account to report my pension contributions, ever since that option became available, because then you get an in-year tax code adjustment which provides better cashflow than waiting for the end of year SA.  Doing it online saves a stamp.

You can report it using "tell us about a tax free allowance".  Even though it's an HRB adjustment.

Mick70

will be my first year of doing this so im assuming there is a box on the online tax return where you just fill in your employee pension contributions for that year (which should be on your payslip)

Dazed_and_C0nfused

Mick70 said:

will be my first year of doing this so im assuming there is a box on the online tax return where you just fill in your employee pension contributions for that year (which should be on your payslip)

Most contributions made via an employer scheme don't get included on your tax return as they will be net pay and the maximum possible tax relief is already received by your taxable pay (shown on your P60) being reduced.

For example salary £40k less pension contributions £4k = taxable pay £36k