HL SIPP not receiving any tax relief

heterodyne76

I’m new to personal pensions and I started a HL SIPP four months ago with regular £100 contributions. 

I thought that those would be topped up to £125 with basic rate tax relief, but my account balance is showing £400 give or take the investment going up or down in value. 

Have I got the wrong end of the stick and I have to apply for the tax relief with HMRC, or does it all get added at the end of the tax year? Or more worryingly could I have opened the wrong kind of SIPP? Thanks in advance for any help. 

molerat

Tax is automatically credited around 6-7 weeks after the end of the tax month the contribution is made so for 6th April to 5th May contributions tax was credited 21st June.  What date was your first contribution credited ?

Dazed_and_C0nfused

You haven't somehow set this up as an employer contribution?

mebu60

Mine was also credited 21 June.

Might it be easier to contact HL and ask them why it hasn't happened? 

heterodyne76

First contribution was April 22nd then the 7th of each month after. 

The app is showing an invested value of £410.53 and a cash value of £24.84 - so the cash value is the 7 week delayed relief from April? Thanks for clearing that up - I’m used to banking apps showing me transactions which the HL app doesn’t really show. 

molerat

Click on the SIPP account, then the three bars top right, then transactions.

LHW99

Going forward it will look as if the tax relief arrives around the same time each month, you have to remember that it will actually relate to the regular payment a couple of months earlier!

Scrounger

heterodyne76 said:

First contribution was April 22nd then the 7th of each month after.

Your first tax relief will be paid on 21 July (qualifying date of 6 May) and monthly thereafter.

Your monthly contributions would be better paid on the 5th of each month (or before) as the cut-off date for the month is always the 6th.
Payments made on 7th will have to wait about 10 weeks for tax relief to be received.  Ouch.


Scrounger

heterodyne76

Thanks very much for all the comments and about I’m better off changing my regular payment date to the 5th. 

Exodi

Scrounger said:

heterodyne76 said:

First contribution was April 22nd then the 7th of each month after.

Your first tax relief will be paid on 21 July (qualifying date of 6 May) and monthly thereafter.

Your monthly contributions would be better paid on the 5th of each month (or before) as the cut-off date for the month is always the 6th.
Payments made on 7th will have to wait about 10 weeks for tax relief to be received.  Ouch.


Scrounger

HAHA it took me longer than I care to admit to realise that you're not randomly insulting the OP, but are just signing off your messages with your username.

I recommend not taking that habit into the benefits boards!

Exodi

heterodyne76 said:

Thanks very much for all the comments and about I’m better off changing my regular payment date to the 5th. 

Earlier if possible and as someone said above it'll be stated in your transaction history so there's no guesswork on whether you've received it.