Additional pension contributions tax relief

[Moonsey123]

Just wondering how it works if your make additional pension contributions through PAYE. I am assuming you get your tax relief/additional money automatically and do not need to do a tax return if you are a basic rate tax payer (20%).

Am I correct? or do I need to make a tax return. I have been making additional contributions for the last 2 years.

if sone via salary sacrifice, you don't need to do anything on tax return whether 20/40/45%.

If done out of net pay, then you could include it on the tax return but it shouldn't make any difference if you are a 20% payer but would give you a tax refund if 40%.

(i think!)

Thanks.

Looking at the statement from the pension provider, there is an item there called tax relief, which is about 25% of my personal contributions. So I guess it is there and I don't need to worry about it; unless I make additional payments after taxes.

yes, when i pay by cheque - i pay £16 per month and they reclaim extra £4 from the tax man.

So £4 of £20 total into pension is the 20% tax part. and yes, its 25% of what i actually pay out.