26/27 code

eastcorkram

I have a DB pension in payment of around £3,300 a year. For the upcoming year, this has been given a code of K1119.

I think this is about right, but was wondering how much of it will be taken in tax each month. It would appear to be most of it. That's fine, if it means I don't have to do simple assessments, but I thought I'd read on here that they couldn't take more than 50% of an income.

Dazed_and_C0nfused

https://forums.moneysavingexpert.com/discussion/6662332/26-27-code

Irrespective of the tax code it can't be more than 50%. Payroll software will ensure that limit isn't breached.

eastcorkram

https://forums.moneysavingexpert.com/discussion/comment/81946988#Comment_81946988

So, I will get a simple assessment then. :(

Do you think they will wait until after the next tax year, and then it'll get sorted out when the P800 is done?

Dazed_and_C0nfused

https://forums.moneysavingexpert.com/discussion/comment/81946992#Comment_81946992

You should only get a P800 or a Simple Assessment but timing wise yes, you would expect to receive a Simple Assessment in the same time frame as a P800.

So for the 2026/27 tax year it would be summer/autumn 2027, with the tax being payable by 31 January 2028 (providing the PA302 calculation is issued at least 3 months before 31 January 2028).

eastcorkram

https://forums.moneysavingexpert.com/discussion/comment/81947034#Comment_81947034

That's great. Thanks for the explanation. Would be easier if they just took it each month, but hey ho. I'll put it aside every month, and earn a little interest on it.