We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide

State Pension Tax

2»

Comments

  • Qyburn
    Qyburn Posts: 4,058 Forumite
    Fifth Anniversary 1,000 Posts Name Dropper
    zagfles said:
    This is what it says in the budget document (my highlighting):

    "4.167 State Pension and Simple Assessment – The government will ease the administrative burden for pensioners whose sole income is the basic or new State Pension without any increments so that they do not have to pay small amounts of tax via Simple Assessment from 2027-28 if the new or basic State Pension exceeds the Personal Allowance from that point. The government is exploring the best way to achieve this and will set out more detail next year."

    So it sounds like it won't apply to people who get "increments" which I presume means SERPS/S2P, so by the sounds of it your Mum would still have to pay tax, although the details still aren't clear. 
    Ease the "administrative burden" not tax burden. And "not have to pay small amounts of tax via Simple Assessment" is not the same as saying "won't pay tax".
  • Thank you very much everyone for your advice and help. 
    A lot of people asked and no, she doesn't have any savings or any other assets. 
    I'm looking again if there are any benefits she can claim and I will pay her tax bill.
     Thank you again
  • For benefits advice I suggest you look at Turn2Us, here:
    https://www.turn2us.org.uk/
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 353.6K Banking & Borrowing
  • 254.2K Reduce Debt & Boost Income
  • 455.1K Spending & Discounts
  • 246.6K Work, Benefits & Business
  • 603K Mortgages, Homes & Bills
  • 178.1K Life & Family
  • 260.6K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.