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  • tax relief on workplace pension

    My employer's pension scheme is not set up for automatic tax relief at source, and consequently, no tax relief has been applied to my pension contributions. my contributions were made from my net salary (after tax deductions). Will I still benefit from tax relief on workplace pension if I am just a basic rate tax payer? Should I contact HMRC for this? Thank you.
  • tax on saving interest

    Hi, I am not self-employed as I have rental income only. I have taken out a loan with an interest rate of 3%, and over the course of a year, I paid £3,000 in interest. The loan was for BTL property purchase, however, due to increasing interest rate I am unable to do so. I then deposited the loan amount into a savings account with an interest rate of 4.5%, earning £4,500 in interest over the same year. Considering my tax rate is 40%, I need to pay £1,800 in taxes on the interest income (£4,500). This results in a negative net income when the loan interest payments are taken into account. Net result: £4,500 (interest earned) - £3,000 (loan interest paid) - £1,800 (taxes) = -£300 I would like to know if the loan interest paid can be deducted from the interest income to reduce my taxable amount. Otherwise, the tax payment makes this investment unprofitable. Thank you.