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Max pension contribution cross-check

Degsy67
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Re: Max pension contribution cross-check

#180377

Postby Degsy67 » November 14th, 2018, 9:44 pm

Now more confused than when this thread started.

Practically speaking there is nothing stopping my wife contributing all of her gross salary, receiving tax relief on everything. There is a chance that HMRC could pickup on it down the line and raise an issue but their systems are not as well joined up and where they are they have bigger tax fraud fish to fry. It would be easy to claim confusion around the rules as there is plenty of evidence of confusion on this thread!

Morally however, staying inside the tax rules is what we are looking for.

I’m still going to stick with the HL calculator as best advice on this matter.

Degsy

swill453
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Re: Max pension contribution cross-check

#180396

Postby swill453 » November 14th, 2018, 11:16 pm

Degsy67 wrote:Practically speaking there is nothing stopping my wife contributing all of her gross salary, receiving tax relief on everything. There is a chance that HMRC could pickup on it down the line and raise an issue but their systems are not as well joined up and where they are they have bigger tax fraud fish to fry. It would be easy to claim confusion around the rules as there is plenty of evidence of confusion on this thread!

When you make a contribution to the AJBell SIPP, it asks you what your income is. This value will be used to calculate how much tax relief they claim back on your behalf from HMRC.

There is therefore no scope for your wife "contributing all of her gross salary, receiving tax relief on everything" unless she supplies an incorrect figure.

This would be difficult to pass off as "confusion".

Scott.

Degsy67
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Re: Max pension contribution cross-check

#180687

Postby Degsy67 » November 15th, 2018, 9:02 pm

swill453 wrote:
This would be difficult to pass off as "confusion".

Scott.


You clearly haven’t met my wife! :lol:

Degsy


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