Tag Archives: Pension Tax Relief

Pension Update : 2016 Autumn Statement

Good News / Bad News

Only one change was announced in relation to pensions, and this relates to contribution limits. The current annual contribution allowance is £40,000, but this reduces to £10,000 in cases where the pension holder has begun drawing down income (as opposed to tax-free cash) from a ‘money purchase’ pension. This £10,000 limit is now to be […]

Pension Tax Relief Warning

THE CHANCELLOR could be about to cut tax relief for pension contributions. In his 2010 emergency Budget, Osborne cut the maximum annual pension contribution exempt from tax from £255,000 to £50,000. This year’s Autumn Statement, scheduled for 5th December 2012, may see the maximum contribution dropped to £40,000, which would save the Treasury about £600m, while a […]

Budget Update: Relief for pension contributions

From 6 April 2011 tax relief on pension contributions is to be restricted.The relief will be restricted to the basic rate of income tax – currently 20% – for those individuals earning in excess of £180,000. Relief will be tapered between 20% and 40% for those earning between £150k and £180K. Transitional provisions will take […]