incapacity and pensions

littleD

How do Inland revenue work out tax on incapacity benefit and pensions?

If you get 409 per month from pensions and 290 per month from IB which will they take the tax off?

thank you

tanith

I believe that would be your pension at least thats what happens in my case...... someone with more knowledge will be along to tell you how that happens I am sure...

littleD

thanks for the reply - any idea how much based on the figures I've given for a basic rate tax payer?

thank you

seven-day-weekend

They will add your income from all sources together and then take any tax owed off your pension.

I'm sorry I don't know how much it will be in your case. It depends on other things like your tax code.

Why don't you ring HMRC and ask then? They were very helpful when my husbnad asked them a similar question.