Question
I filled in my self assessment on line and included details of a pension of about £200 a month from Norway which was not taxed at source. HMRC did the calculations but as far as I can see they have not taken account of this income.
Do I have to tell them that I disagree with their calculations, given that I have made full disclosure of the facts?Answer
If you think HMRC has made an error when calculating your self-assessment tax return then yes, you should tell them. If you don’t there’s a risk that you’ll pay too little tax, which could lead to you paying interest and possibly fines in future if the error comes to light.
I’d suggest calling HMRC to double check whether the pension is taxable and, if so, alert them that there may be an error in their calculations.
As an aside, if you’re UK tax resident and domiciled (you’re probably UK domiciled if you were born here) then you usually only have to pay tax on 90% of overseas pension income, not the full amount.
I filled in my self assessment on line and included details of a pension of about £200 a month from Norway which was not taxed at source. HMRC did the calculations but as far as I can see they have not taken account of this income.
Do I have to tell them that I disagree with their calculations, given that I have made full disclosure of the facts?Answer
If you think HMRC has made an error when calculating your self-assessment tax return then yes, you should tell them. If you don’t there’s a risk that you’ll pay too little tax, which could lead to you paying interest and possibly fines in future if the error comes to light.
I’d suggest calling HMRC to double check whether the pension is taxable and, if so, alert them that there may be an error in their calculations.
As an aside, if you’re UK tax resident and domiciled (you’re probably UK domiciled if you were born here) then you usually only have to pay tax on 90% of overseas pension income, not the full amount.
Read this Q and A at http://www.candidmoney.com/questions/question144.aspx
No comments:
Post a Comment