Tax Relief

Tax Relief – Pensionfinder

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    Tax Relief

    To help encourage individuals to save for their retirement the Government gives them tax relief on their contributions to either a personal or an occupation pension scheme. This tax relief can be used to boost their pension contributions. Currently, for a basic rate taxpayer contributions receive tax relief at 20%, with the tax rebate for higher rate taxpayers set at 40%. From April 2011 the tax relief for those earning more than £130,000 will be 20%. All tax relief is subject to the annual limit set by HRMC, set £255,000 until 2015/16.