Originally Posted by
heights good
I have just received a letter from Veterans UK saying I have exceeded my "standard tax-free pension savings limit of £40,000 for tax-year 2019-20 based solely on the growth in your FPS benefits,"
I am shocked to say the least, I am nowhere near OF4 level, nor likely to ever reach those dizzy heights. Is this a mistake or a new tax grab to off-set the McCloud Judgement by HMRC?
Any help is greatly appreciated as I have just submitted my self-assessment, which is now incorrect and will need amended
HG
I’ve had that letter twice in recent years, just follow the instructions and calculations.
I did not exceed the limit on either occasion.
The letter usually means that due to promotion, moving onto PAS or other circumstance that you “maybe” near to the limit or have exceeded it, not that you have. Usually, unused portion of previous years allowance is enough to take you below the threshold, at your level anyway, not so once you get higher up the greasy pole.
The handout is actually rather good.