Pension payments

Posted by mattwadz PM | on Thu, 26/01/2012 - 17:14 490 | report

Hi,

Client is a 40% taxpayer who is paying money into a personal pension scheme.

If he pays £6,500 net into his pension scheme how is the relief applied? Is it still the case that the 20% tax band gets increased by £6,500 in order for him to claim higher rate pension relief...or have the rules changed in 2011-12?

Thanks

Matt