Damian

Hi, I currently complete a self-assessment and have normally used this to reclaim any higher rate tax payments for the small contributions I have so far made to a SIPP. I need to make some larger payments during 2024/25 but ideally would prefer not to wait until the end of the year to recover the tax. One option is that I could wait to make the contributions to just before the end of the year, although not ideal. Is there any provision where if I make a SIPP contribution sooner, I can notify HMRC and they can make an adjustment to my tax code so that my PAYE tax is adjusted during the year so I end up a little closer to a neutral position by year end. I am updating my estimated income so it accurately reflects my expected income in the year but a significant proportion of this income will be contributed to a SIPP. Thanks.

Hi, I am not sure you fully understood my question. The scenario is that the shares are in the process of the allowed 90 day transfer between the SAYE scheme and the ISA. When they are taken from the same, they are held in a corporate sponsored nominee account whilst the transfer is arranged between the counterparties. The shares become eligible for the dividend (i.e. Ex-Div / Record Date) whilst they are still in the nominee account. So they become eligible for the dividend whilst outside the ISA wrapper. Notwithstanding the above, the shares will be in the ISA by the end of the financial year and although the shares attracted the dividend whilst outside of the wrapper, the dividend is directly attributable to the shares which are in the ISA by year end. Assumption is that as the shares can be traced as transferring from the SAYE to ISA under approved arrangements, any dividends attributable will be outside of the dividend tax arrangements on the basis that the shares reside in the ISA by year end. Any further advice appreciated. Thanks.

Hi, I have commenced the process of transferring matured SAYE shares to my S&S ISA within the 90 days window(deadline is end June). The shares are to go Ex-Dividend shortly and likely before the shares complete the transfer to the ISA (they currently sit in a Corporate Sponsored Nominee account waiting transfer settlement with the iSA provider). I am trying to clarify how these dividends should be treated for the purposes of the £500 dividend tax allowance. I can’t seem to find any guidance on the 2 options: 1. As the dividends are recorded on shares when formally outside of an ISA wrapper, they are eligible for dividend tax should total eligible dividends in 2024/25 exceed £500. 2. As the dividends will be directly attributable to shares which will be within an ISA within 2024/25 (and are within a recognised transfer process), they do not need to be considered from a dividend tax allowance perspective. Any advice appreciated. Many thanks.