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I am an employee with a salary sacrifice arrangement for my pension, I am a 40% tax payer. I have for the first time made some AVCs. Please can you confirm the correct box and calculation for my self assessment return, is it as follows :
1. £1000 to my employer's recommended AVC provider, which has been processed by my employer's payroll department and deducted from my pay. They advise "Each member’s AVC receives tax relief at the employees marginal rate.You will receive automatic tax relief on your contributions when they are deduced from your gross salary and also on your investment growth. "
Do I put this into the first of the 4 boxes "Payments to registered pension schemes (Also known as PPR) where basic rate tax relief will be claimed by your pension provider (called Relief at source). Enter the payments and basic rate tax" and as the amount enter the ‘grossed up’ contribution here i.e. physically paid + basic rate relief, so in this case £1250?
2. £4330 via a transfer from my bank account to a personal pension provider Nutmeg
Do I put this into pension box 2 "payments to a retirement annuity contract where basic rate tax relief will not be claimed by your provider? And the amount just £4330?
Please do not refer me to a link to the HMRC website info, as I have looked at it already and find it hard to get specific answers to my questions – thanks much appreciated!
As part of my bonus I get RSUs of an American automaker shares, which have vesting dates in the future (usually every March).
My understanding to fund the tax and NI due to HMRC an approximate number of shares (based on an estimate of my marginal tax and NI rates) are withheld and sold on my behalf.
The total value of my March RSUs vest (based on fair market value on the date of vest) will be included in ‘TPNG’ (Taxable Pay not Gross) in the box headed ‘Total Since April 6’ in my payslip. The TPNG amount for March will be included in my taxable pay for March –
Q1. so it’s is included in my P60 income amount and already part of my tax return right?, so I don’t need to list elsewhere on my tax return right? .
Q2. this is therefore part of my adjusted net income figure?
Plus the tax and NI due on the RSU vests is included in the Tax and “NI D” values in my pay slip Deductions along with the tax and NI for your March salary.
Q3. Again the tax on is included in my P60 amount and already part of the tax paid in my tax return right?, so I don’t need to list elsewhere on my tax return right?.
Q4. Dividends – if dividends are paid on these RSUs – is it the same tax treatment or do I have to report separately? Again would dividends be included in adjusted net income?
Q5. How do I calculate the gain on selling? Let’s say I have 5 tranches of shares that all had different vest dates and therefore different fair market value of the shares at vest. So I work out the gain on each tranche and total them to get the total gain from the sale. Then convert from USD to GBP, using either the HMRC monthly or annual exchange rate at the time (whichever is more favourable)?
Q6. Do I have to show on the tax return even if not converted into GBP? If so where?
Q7. What if I make a FX gain in the future when I do convert them from USD to GBP (i.e. the rate is better on the date of conversion versus the date of sale?) Do I have to report this and if so where?
Q8. Do I have to show at all on my tax return if the gain is less than £12,300?
Q9. Where do I show on the tax return? – UK Capital Gains page?
Q10. What about the transaction fee charged by my company’s broker / administrator – do I take this off the gain amount?
Q11. Net adjusted income – do I have to include the gain in my adjusted net income? And if so not count the £12,300 allowance?
Q12. If I made a gain over £12,300 when do I have to pay the CGT?
Really appreciate answers to all these questions as I’m not clear from your online guides. Think other tax payers would also appreciate looking at similar questions. We just want to get it right. Many thanks!