Foreign pension

johnandmarolin

I have been trying to get an answer from HMRC webchat and phone for hours, but no response.  So i wonder if anyone here can help.

My wife is 67 and get £74 a month from a Canadian state pension.  Its not taxed in Canada so we should pay tax here & it looks like we should do a self assessment.  But as we get older doing self assessment every year for a small sum may start to get difficult.  Does anyone have any experience of this?  Is there an easier way to pay UK tax on it?

Thanks for any help

Jeremy535897

If your wife's total taxable income including the pension is within her personal allowance of £12,500, she will pay no tax.

johnandmarolin

Thanks for reply.  She still works part time, so she is over that amount

Jeremy535897

If she works, then the tax due on the pension can be collected through her notice of coding by reducing her available personal allowance.

johnandmarolin

I hope so, but HMRC site says different.  I have given up calling them so have sent a letter ! 

xylophone

https://www.gov.uk/hmrc-internal-manuals/double-taxation-relief/dt4610#:~:text=Article 17 of the agreement,only in the United Kingdom.


Has your wife set up a personal tax account?


https://www.gov.uk/personal-tax-account

johnandmarolin

Yes, she set it up when we had a buy to let.  That is now sold and we hoped never to do a tax return again !  WE can still handle it now, but don't want to do a return every year for a small amount as we get older.