Pension Withdrawal

Dazed_and_C0nfused

Tattie63 said:

Yes my monthly payment that I received on the 3rd of every month ,today was taxed at 47.6%.I was paid £599 today.

My withdrawal of £28k that I received on 1st was deducted at roughly 42.4 %.
Prior to this withdrawal I was paid £1152 tax free every month for the last 2yrs.

You need to check your personal tax account to see why the tax code has changed on your existing pension.

It is unlikely to have happened in response to taking the £28k, it will be some other reason.

Tattie63

I have applied for tax refund,yesterday.
In relation to the tax on my £28k initially.
But today when I saw my monthly payment,taxed even more.
Thought I need to speak to someone.
Thanks for your help.
Been trying to telephone HMRC all morning.

FIREDreamer

Tattie63 said:

I have applied for tax refund,yesterday.
In relation to the tax on my £28k initially.
But today when I saw my monthly payment,taxed even more.
Thought I need to speak to someone.
Thanks for your help.
Been trying to telephone HMRC all morning.

They have probably assumed, wrongly, that the £28k withdrawal is a regular monthly one which has messed up your tax code.

Dazed_and_C0nfused

FIREDreamer said:

Tattie63 said:

I have applied for tax refund,yesterday.
In relation to the tax on my £28k initially.
But today when I saw my monthly payment,taxed even more.
Thought I need to speak to someone.
Thanks for your help.
Been trying to telephone HMRC all morning.

They have probably assumed, wrongly, that the £28k withdrawal is a regular monthly one which has messed up your tax code.

Possibly but it seems incredibly quick work for HMRC to have acted on information about the £28k, sent a new tax code for the existing pension and the pension payer to have started to use the new code!

FIREDreamer

Dazed_and_C0nfused said:

FIREDreamer said:

Tattie63 said:

I have applied for tax refund,yesterday.
In relation to the tax on my £28k initially.
But today when I saw my monthly payment,taxed even more.
Thought I need to speak to someone.
Thanks for your help.
Been trying to telephone HMRC all morning.

They have probably assumed, wrongly, that the £28k withdrawal is a regular monthly one which has messed up your tax code.

Possibly but it seems incredibly quick work for HMRC to have acted on information about the £28k, sent a new tax code for the existing pension and the pension payer to have started to use the new code!

They were very quick when i started my annuity!

Tattie63

Eventually spoke to HMRC today and assured myself it will get rectified before end of tax year.

Tattie63

Eventually sorted out with tax.Had to complete P55 form.