Pension Tax Rebates

Welcome to the complex world of pension tax rebates. It’s a complicated place because there are several reasons why you can claim a pension tax rebate, different pension schemes have different rules and the process of claiming your pension tax relief varies according to your circumstances.

The great thing is that the more reasons there are to receive pension tax relief, the higher the chances of you being eligible.

All taxpayers

All taxpayers are entitled to pension tax relief from the government at the highest rate of income tax you pay; way of supporting your financial planning for the future. 20% (basic income tax rate) is paid automatically.

Higher and additional rate taxpayers

Higher and additional rate taxpayers do not always know that they have to claim for any tax relief over the automatic 20%.

You are entitled to 40% or 45%, but you will only receive the first 20% as a matter of course and are missing out on substantial sums if you don’t submit an application for the remainder.

Our free Higher Rate Pension Tax Relief Calculator will give you a good idea of how much you could be owed.

UK expats

UK taxpayers that have moved abroad are also possible candidates for pension tax relief, on pension income and a cashed in pension lump sum.

There are some elements of international law involved in this category. Your eligibility for UK pension tax relief depends on the Double Taxation Treaty that the UK has with your current country of residence.

Find the information most relevant to you by clicking on the pension FAQ’s below.