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Pension lump sum - UC automatically zero in January?

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Comments

  • calcotti said:
    Well it may be classed as capital for UC purposes but it is income on my HMRC page despite being a pension lump sum - I can see the word income four times. I hope NedS is right though and not passed along to UC as it is unearned income. 
    It is income for tax purposes. Out of interest, is some of this lump sum tax free?
    As Ned says, would be interested to hear what happens in January.
    Yes 25% was tax free and didn't show on HMRC PAYE.  75% showed and had tax deducted at 20%. 
  • calcotti
    calcotti Posts: 15,696 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Glad to know UC processed correctly. Thanks for reporting back.
    Information I post is for England unless otherwise stated. Some rules may be different in other parts of UK.
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