Tax and State Pension

[Deleted User]

There is a specific box for state pension on the tax return. See hard copy of on line return here:
Page TR3

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1062331/SA100_tax_return__2022_.pdf

gt568

[Deleted User] said:

There is a specific box for state pension on the tax return. See hard copy of on line return here:
Page TR3

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1062331/SA100_tax_return__2022_.pdf

Yeah I get that, but as per link, how do I know if HMRC have asked the pension provider to take the tax for her SP as the .gov.uk link suggests?

comeandgo

gt568 said:

[Deleted User] said:

There is a specific box for state pension on the tax return. See hard copy of on line return here:
Page TR3

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1062331/SA100_tax_return__2022_.pdf

Yeah I get that, but as per link, how do I know if HMRC have asked the pension provider to take the tax for her SP as the .gov.uk link suggests?

Even if the pension provider has taken off the tax, you enter in the SA all income and all tax paid so you do not pay the same tax twice.

TadleyBaggie

For most individuals, the state pension amount will be lower than the personal allowance. So no actual tax needs to be deducted due to the state pension, however what the result will be is the the tax code for further income streams (such as personal pensions) will be reduced. So for example my state pension is paid in full, my next income stream (private pension) only gets a tax code of 303. So I end up paying more tax on the private pension as a result.

molerat

gt568 said:

purdyoaten2 said:

There is a specific box for state pension on the tax return. See hard copy of on line return here:
Page TR3

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1062331/SA100_tax_return__2022_.pdf

Yeah I get that, but as per link, how do I know if HMRC have asked the pension provider to take the tax for her SP as the .gov.uk link suggests?

SA is a reconciliation exercise where you list the income from all sources and tax already deducted from all sources from which can be worked out how much tax is actually due  It is irrelevant if the tax due has already been taken by another pension provider as it will all come out in the calculations.

sheramber

The personal allowances in the coding for the occupational pension will be restricted to cover the amount of the state pension.

So the code number will be lower than of the full personal allowance was available..

You will enter the tax deducted from the occupational pension on the SA return so will be given credit for it.

Dazed_and_C0nfused

gt568 said:

right so my question was perhaps poorly worded, how do I know if the pension provider has taken the tax as PAYE (I guess) or if i need to declare it as untaxed income?

I've always declared it as untaxed income previously which boosts the amount she has paid to HMRC but the link suggests it should have already been factored into the tax paid with her pension.

You are over-thinking things.

State Pension is taxable.  So you declare this on the Self Assessment return.

You also declare any other taxable pension income.

And any tax deducted from the other taxable pension income.  This tax figure may be higher because the tax code used against the company/private pension was lower because of the State Pension.  But by including the tax deducted during the year you are receiving credit for the tax deducted during the year.

patsy43

at end of year all uk privet pensions give you a p60 stating how mush tax has been taken you can request copes