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MPAA Effective date
Pat38493
Posts: 3,529 Forumite
Easy question hopefully - does the MPAA limit apply restrospectively to the entire tax year you are currently in?
So for example if I triggered MPAA in March, but I had paid more than 10K into the pension during the tax year up to March, I would be in trouble?
So for example if I triggered MPAA in March, but I had paid more than 10K into the pension during the tax year up to March, I would be in trouble?
0
Comments
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It's not retrospective
When does it apply?
- The money purchase annual allowance applies to all defined contribution savings made by that individual after the date it's triggered. If this occurs part-way through a pension input period only the contributions made after the trigger are tested against the money purchase annual allowance. However, the total contributions/accrual in that tax year are also tested against the £60,000 annual allowance or tapered annual allowance.
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