Meet the Other Phone. Child-safe in minutes.

Meet the Other Phone.
Child-safe in minutes.

Buy now

Please or to access all these features

Money matters

Find financial and money-saving discussions including debt and pension chat on our Money forum. If you're looking for ways to make your money to go further, sign up to our Moneysaver emails here.

Telling tax credits about personal pension contributions the amount paid or divide by .8?

7 replies

starpatch · 08/05/2021 06:35

Hi last year when I told tax credits about my personal pension contributions I just asked the advisor 'is it the actual amount I paid not the tax' and he just said yes so I gave the lower figure. I am just wondering if this is right as usually for tax credits you just tell them the same as you told the HRMC ( ie divide by 0.8 to add the tax back in). Thanks in advance.

OP posts:
Chasingsquirrels · 08/05/2021 08:41

It should be the gross amount not net.
So yes, divide what you pay by 0.8 to include the tax element.
You should also deduct any gift aid payments you make, grossed up in the same way.

SpideyMom · 08/05/2021 11:32

You give them the gross amount. I've just noticed my award has been reduced on the app significantly so it looks like my renewal has been sent.
I hate this time of year as they always significantly reduce my payments for months later to reinstate them due to my pension contributions. I hoping its done before September this year!

Chasingsquirrels · 08/05/2021 11:58

Same here SpideyMom, mine now says no tax credits due, but I can't renew until I get my P11d from work - which they take to the 6 July deadline to prepare.

SpideyMom · 08/05/2021 13:18

I remember you from last year. Always seems to come round so fast doesn't it

starpatch · 08/05/2021 13:20

Thanks so much. That's great. My statement has come so I will be able to renew now and hopefully my payments will go up.

OP posts:
wantmorenow · 12/05/2021 08:35

They have an App? Sorry misses point of thread.

Chasingsquirrels · 12/05/2021 10:43

HMRC app. Tax credits is one of the sections.

New posts on this thread. Refresh page