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Posted Mon, 27 Nov 2023 12:41:44 GMT by
Hi part1: If I will have an income of 60000£ in currnet tax year and contribute to my pension (relief at source) 8000£ My net adjusted income will go down to 50000£ I will not face child benefit charge and will be able to keep 100% of child benefit Is above statement right? part2: Then I will complete tax assessment to claim back another 20% of tax I have paid between 50000£ and 60000£ which should be around 2000£ (it will be problably less as I am not 100% sure how that is calculated) So, if I have received lets say 2000£ back from self assesment tax return does it increase my net adjusted income to 52000£? If so in which financial year? One just passed or next one?
Posted Thu, 30 Nov 2023 09:55:39 GMT by HMRC Admin 19
Hi,

If you contribute to a pension scheme and the contribtions are dedcuted from your salary before the tax is calculated then you have already had the relief at source and would not be due further tax relief and as already deducted from your salary it would not be dedcuted again for the net adjusted income. Information on net adjusted income can be found here:

Personal Allowances: adjusted net income

If you receive a refund for pension contributions then the refund does not effect the net adjusted income

Thank you. 
Posted Thu, 30 Nov 2023 10:46:12 GMT by
Thank you for your reply I think we do have misunderstanding here. Here is desciption to "relief at source" I have related to in above post " Relief at source Your employer takes your pension contribution from your pay after deducting tax (and National Insurance contributions). Your pension scheme provider then claims the tax back from the government at the basic rate of 20 per cent. This is added to your pension. " To clarify what i mean: 8000£ contributed to pension is deducted from my net pay and my pension provider adds 20 % later In that case are part1 and part2 statements included in my previous post right?
Posted Fri, 08 Dec 2023 08:18:32 GMT by HMRC Admin 25
Hi Zembur,
If the pension contribution is taken from your net pay then yes this can be dedcuted for the adjusted net income.
If the pension contributions are taken from your salary before the tax is calculated then in this case you would not be able to deduct for the adjusted net income. 
Thank you. 

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