Bonus clawback - where to log this on self assessment

My previous employer paid a bonus in 2022 - 100% of it went into my pension (by error but not sure this is relevant). I terminated employment a few weeks later and as a result was required to pay back the bonus. As I was unable to access the money in my pension, this was paid back out of savings. I carried on with employment for a further 3 months (notice period). From HMRC guidance/examples EIM00842 - EIM00845, I can see that I am entitled to credit/repayment for the tax deducted under PAYE - however what is not clear is where I input this information in the self assessment, and whether the calculation is in reference to my taxable earnings from the previous employer (which would make it a loss and therefore fall under loss relief) or against taxable earnings as whole for the 2022-23 year? Guidance would be appreciated. Thanks

Hi,
The guidance on SA102 (2023) advises "if you’ve had to pay back money to your employer due to a contractual agreement (often known as claw back), reduce the amount of pay in box 1 by the amount paid back.  
Enter a note to explain why you’ve done this in the ‘Any other information’ box, box 19 on page TR 7 of your tax return:
Employment notes.
Thank you.

Thank you for this. I have an additional question to the above, as have a similar circumstance. My bonus claw-back covers several previous years and is greater than the amount I earned for the tax year. As such I have negative earnings for this employer when I deduct the clawback. I think I can only floor the total earnings to zero, in which case how can I report the remainder as an additional tax loss?

Hi,

This would probable need to be done manually in order to adjust the clawback over the years in which it relates to. Your income form your P60 should be declared as normal and then send in a letter giving details of the clawback and the amounts paid each year for this to be reviewed.

Thank you.

Hi DK17632 I am the original poster, I eventually managed to speak to a representative at HMRC on this topic and they expressed that it isn't a wholly clear. I am in a similar situation whereby the bonus paid back is greater than the amount I earned for the tax year from the Employer (1). I did however receive a sign-on bonus from my new Employer (2). They recommended I assign a proportion of the bonus payback amount to Employer 1 to take it to zero, and the remainder I apportion to Employer 2. They also suggested attaching all the relevant documentation and a letter explaining approach taken. Hope that helps.