Self Assessment State Pension

The self assessment sheet has a state pension figure provided by DWP of £7,150, being £137.50 X 52. During 2012 DWP corrected a mistake and reduced pension to £130.25 pw but did not claw back overpayment. HMRC say that tax is payable on pension due, not on pension received. Pension received £132.5 * 4 + £137.5 * 36 + £130.25 * 12 = £7,043. Pension due was thus £130.25 * 52 = £6,773, but received £7,043. What amount is taxable?

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It's clear.

pedant |
pedant's picture

Assessable income from Pensions

RetiredTax |

Thank you. I will need to get

Chas |