Tax code changed not sure if its right

kevj9201

Hi, i have just completed my self assessment return (employed, self employed and property income), i paid into a private pension £3000 which was topped up at source to £3750 which is the figure i put on my tax return.
HMRC have added that 3750 onto my tax code for nest year taking it to 1632L should that be the case as it feels like im getting the tax back twice for paying into a pension?

Dazed_and_C0nfused

So the tax code adjustment is nothing to do with the tax relief for 2021:22 (the tax return year).

You only ever get tax relief against the tax year you paid the contribution in.

The tax code adjustment is assuming you will make a similar contribution in the current tax year.  Which will all come out in the wash when you do your 2022:23 Self Assessment return but if you don't plan making a similar contribution this year then you can ask HMRC to remove it.  

And I think the reason it's £3,750 is because you are higher rate overall but only paying 20% tax on PAYE.  The normal amount includes in your tax code would be £1,875.