Best way to approach 40% relief on SIPP

Albermarle

SacredStephan said:

AlanP_2 said:

Be careful how much £x is, based on our experience with HMRC if it is over £10k then they require confirmation from the SIPP provider that you have made the contribution i.e. at the end of process not before contributing.

One thing we still can't work out is why you need to claim the additional relief. According to our SIPP provider HMRC are supplied with the name, NI number and gross contribution amount directly by them each time contributions are processed so already have all the information they need to automatically adjust for any more tax relief due.

You should write to HMRC after you make the contribution. I believe they will not accept this information by phone or webchat.
My guess as to why a taxpayer needs to tell HMRC about something that HMRC already knows about is because their internal systems are not linked together.

From threads on here, if you do not tell HMRC about your contribution, you do not get the tax adjustment as a 40% taxpayer, despite it seems HMRC getting info direct from the provider.
I believe many people lose out the additional tax relief for years as they are not aware of this. 

AlanP_2

SacredStephan said:

AlanP_2 said:

Be careful how much £x is, based on our experience with HMRC if it is over £10k then they require confirmation from the SIPP provider that you have made the contribution i.e. at the end of process not before contributing.

One thing we still can't work out is why you need to claim the additional relief. According to our SIPP provider HMRC are supplied with the name, NI number and gross contribution amount directly by them each time contributions are processed so already have all the information they need to automatically adjust for any more tax relief due.

You should write to HMRC after you make the contribution. I believe they will not accept this information by phone or webchat.
My guess as to why a taxpayer needs to tell HMRC about something that HMRC already knows about is because their internal systems are not linked together.

We did write after making the contribution.

That is when they asked for evidence from provider.

Once they had that we were told it was a Net Pay scheme, despite provider statement showing BR relief being added.

In previous years on lower amounts they have accepted being told over the phone.