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Posted Thu, 25 May 2023 19:04:29 GMT by genes
Hi, I earned £70,000 last year but I paid £80,000 into my relief at source stakeholder pension (so with the tax relief, my pension savings are £100,000 for the year). I have not exceeded the pension annual allowance as I have carry over from previous years but I have exceeded the relevant earnings threshold. I have already transferred this pension into my work’s defined benefits scheme so cannot approach the original pension company for the overpayment to be returned. I am employed part-time (PAYE) and am a sole-trader part-time so it can be hard to predict exact earnings which were lower than anticipated. Where do I stand? Am I liable to repay the tax relief over my relevant earnings? If yes, how much (approximately)? I have business losses for this year and last year so could these be used to reduce any liability for the tax relief? Thanks
Posted Fri, 26 May 2023 16:08:50 GMT by HMRC Admin 10
Yes this will need to be repaid as you are not due the relief.
It is normally the pension company that make the payment so you will have to contact your current provided to see if they can arrange something with the previous one.

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