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Pension allowance carry forward- declaring?

Practical Issues
AleisterCrowley
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Pension allowance carry forward- declaring?

#645220

Postby AleisterCrowley » February 6th, 2024, 10:51 pm

(prompted by earlier post)
viewtopic.php?f=49&t=42250

I have submitted my return for 22/23
I was £55 short of the £40k annual pension contribution in 22/23 after sal sac contributions into my employer's scheme
I had just under £49,300 remaining allowance from the previous 3 tax years combined, so I opened a new SIPP and paid in just short of 80% of this amount
I declared this payment on the return

But, reading through previous post, and the pdf copy of my return, it appears that I should have filled in boxes 10-12 on additional information
(10: Amount saved towards your pension, in the period covered by this tax return, in excess of the Annual Allowance)

I think I can go back in and edit, despite having submitted, but want to make sure I fill in the right amounts in the right boxes
Hopefully this wont trigger any tax charge. I did phone my SIPP provider and explained I was utilising carry forward, and asked if I needed to inform HMRC. I got the impression (wrongly) that it would happen automatically. Perhaps they meant I didn't need to inform HMRC prior to my tax return submission???

What next?
cheers
AC

AleisterCrowley
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Re: Pension allowance carry forward- declaring?

#645225

Postby AleisterCrowley » February 6th, 2024, 11:12 pm

And how do I find scheme reference?

bluedonkey
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Re: Pension allowance carry forward- declaring?

#645236

Postby bluedonkey » February 7th, 2024, 7:08 am

I think it means in excess of the annual allowance as increased by bring forward. The box is to collect tax on excess contributions that will get charged.

AleisterCrowley
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Re: Pension allowance carry forward- declaring?

#645272

Postby AleisterCrowley » February 7th, 2024, 10:14 am

It's ambiguous
Amount saved towards your pension, in the period covered by this tax return, in excess of the Annual Allowance
Annual Allowance -noting it's capitalised, so defined elsewhere - could be "£40,000" or "£40,000 plus carry over from previous three tax years"
The former seems more likely, but;
https://www.gov.uk/guidance/check-if-yo ... on-savings
If your pension savings are more than your annual allowance, carry forward unused annual allowances from previous years.
You can carry forward unused annual allowances from the 3 previous tax years. You do not need to report this to HMRC


(My underlining)

AleisterCrowley
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Re: Pension allowance carry forward- declaring?

#645609

Postby AleisterCrowley » February 8th, 2024, 2:48 pm

Right, I've had a long trawl through the HMRC pages...
This is an extract from
Guidance
HS345 Pension savings — tax charges (2023)Unused annual allowance carry forward

My bold
...
You can carry forward any annual allowance you did not use in the previous 3 tax years automatically.

You do not need to make any claim to HMRC to carry forward unused annual allowance and you do not need to show this on your tax return if your unused annual allowance means that an annual allowance charge is not due.

You do need to have been a member of a registered pension scheme during each of the carry forward years.


I'm reading this as meaning I DO NOT have to fill in boxes 10-14 Additional Info - just the pension contributions sections in the main tax return


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