Pension contributions tax relief - 20% to 40%?

Hi, Thanks in advance for any replies and answers. I'm a 20% tax-payer through employment. Employer deducts my pension contributions from wages before income tax paid. However through extra self-employment, my total income takes me into 40%. Can I claim for 20% (higher rate minus basic rate) pension relief? By way of example using general figures: - Employment income 20k - Pension contributions through employment 1k - Self-employment income 40k - No other pension contributions In this example, would there would be a repayment of 20% of 1k i.e. £200? Thanks again

If your pension is deducted from your wages **before** tax, you have no further relief to claim, as you've already fully benefited from not being taxed at all on the portion of your earnings contributed to your pension. This is because not only was tax not deducted during payroll, but additionally the amount of the contributions was removed from being included in the total pay figure on your P60 certificate. (Check that number to confirm it is what you would expect.) This means there was more space left within your basic rate band, allowing more of your self-employment income to be taxed at basic rate that would be the case without the pension contributions, automatically granting you the equivalent to the additional relief due for someone making pension contributions as a higher rate taxpayer.

Ah I see now, that makes sense. Many thanks for the quick and informative reply maxb, much appreciated

Hi,
You will show the payments on your tax return for the correct relief to then be applied -  Tax on your private pension contributions.
Thank you.