Property News · March 7, 2016

Is the chancellor right to not change pensions tax relief?


The forthcoming budget was expected to include a pledge to cut tax relief on pensions for higher earners, but this has been dropped amid growing concern that it could prompt a backlash from affluent votersAfter weeks of speculation that the chancellor was planning big changes to the tax relief on pensions in the forthcoming budget, on Friday the Treasury ruled out any immediate reforms. Currently, when savers pay into a scheme their contributions are boosted by tax relief at the rate they pay on their earnings, which can be as much as 45%. Figures from the government show more than two-thirds of pensions tax relief goes to 40% and 45% rate taxpayers. Continue reading…

Source : theguardian.com
Read more…Is the chancellor right to not change pensions tax relief?

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