Additional AVC and Personal Tax

I am a high rate tax payer with income around £67k. If I contribute £17k to pension through AVC, does this reduce my Taxable income from £67k to £50k and hence will be a basic rate tax payer?

Hi,

A pension contribution of £17,000 through an AVC will not reduce your taxable income to £50000, it will only reduce your higher rate tax liability. You can see guidance here: 

Tax on your private pension contributions

Thank you.

Bhawin, I would say yes, as that's exactly what I do. I have a salary of around £65k and I put around 18% of my wage in a "Salary Sacrifice Pension" This reduces my "Gross Taxable Income" to below the HR Threshold and hence I do not pay the HR rate on anything. Rob.