German deferred income

In tax year 2024/25 and continuing for 7 years I will begin receiving deferred income from years when I lived in Germany. The amounts involved are material and will take me into the 45% tax bracket. The amounts will be paid gross in the UK and taxed here. Because these are not pension payments (I receive a separate pension) am I right to assume that I will be able to claim tax relief on pension contributions made in the UK up to the relevant limit?

Hi,

PTM044100 advises an individual can have tax relief in respect of any relievable pension contributions provided the individual is:

• an active member of a registered pension scheme, and a relevant UK individual in the tax year in which the contribution is paid.  

Tax relief can only be claimed for the tax year that the contribution is actually made. However, the amount of tax relief is limited to 100% of the UK earnings that are chargeable to income tax for the tax year.  

Have a look at PTM044100, as it advises the earning that attract tax relief.

PTM044100 - Contributions: tax relief for members

Thank you.