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SIPP providers that accept non-relievable contributions?

Including Financial Independence and Retiring Early (FIRE)
sloth
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SIPP providers that accept non-relievable contributions?

#392055

Postby sloth » March 4th, 2021, 12:57 am

Does anybody know of any?

swill453
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Re: SIPP providers that accept non-relievable contributions?

#392080

Postby swill453 » March 4th, 2021, 8:03 am

sloth wrote:Does anybody know of any?

When you pay into an AJBell Youinvest SIPP, if you pay in more than £2880 then it asks what your annual income is. From that I would assume they would only apply for tax relief where appropriate (though I haven't experienced this myself).

Scott.

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Re: SIPP providers that accept non-relievable contributions?

#392091

Postby hiriskpaul » March 4th, 2021, 8:34 am

sloth wrote:Does anybody know of any?

I asked Hargreaves Lansdown about this some time ago and they said that they do. You have to phone them to tell them a contribution is non-relievable, then they will not make a tax claim.

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Re: SIPP providers that accept non-relievable contributions?

#393908

Postby sister1 » March 9th, 2021, 2:40 pm

If it helps anyone, I just contacted AJ Bell & they said they won't do it, unfortunately

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Re: SIPP providers that accept non-relievable contributions?

#393947

Postby puffster » March 9th, 2021, 5:14 pm

I've had employer contributions paid in to my AJ Bell SIPP gross if that is what you are trying to do. On the SIPP Additional Contribution form there are two boxes - for Member (net) or Employer (gross). Using the latter no relief was claimed.

Regards, Puffster

swill453
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Re: SIPP providers that accept non-relievable contributions?

#393955

Postby swill453 » March 9th, 2021, 5:26 pm

sister1 wrote:If it helps anyone, I just contacted AJ Bell & they said they won't do it, unfortunately

I'd be interested to know exactly what you asked, to whom, and exactly what the answer was.

The contribution form on the AJ Bell site specifically asks you what your income is, and allows you to deposit more than that, with the clear implication that tax relief won't be charged on ineligible contributions.

Scott.

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Re: SIPP providers that accept non-relievable contributions?

#395009

Postby sister1 » March 12th, 2021, 4:56 pm

I just spoke to the guy that answered the phone :) I told him I wanted to make an extra contribution without claiming tax relief on it & was told this wasn't possible. I didn't actually look at any form...will do so now, thanks

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Re: SIPP providers that accept non-relievable contributions?

#395060

Postby sister1 » March 12th, 2021, 7:59 pm

swill453 wrote:
sister1 wrote:If it helps anyone, I just contacted AJ Bell & they said they won't do it, unfortunately

I'd be interested to know exactly what you asked, to whom, and exactly what the answer was.

The contribution form on the AJ Bell site specifically asks you what your income is, and allows you to deposit more than that, with the clear implication that tax relief won't be charged on ineligible contributions.

Scott.


So I contacted the pensions advisory service first to make sure what I wanted to do was alright and got this reply -"...you have paid the maximum contribution that can receive tax relief this year. It is legal for you to pay more money into a pension scheme without claiming tax relief, but most pension providers will not allow you to do this. You should therefore check with your pension provider if paying further contributions is possible."

Then tried making another contribution to my SIPP & got this message after putting my earnings into the form - "The amount you're paying into your SIPP is too high. The total amount you're allowed to pay into your SIPP is the value of your earnings including the tax relief – meaning the maximum amount you can pay in is 80% of your earnings. Please enter a new amount."

So it looks like the guy I spoke to on the phone was right & AJ Bell won't accept non-relievable contributions :(

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Re: SIPP providers that accept non-relievable contributions?

#396947

Postby taken2often » March 18th, 2021, 11:38 pm

Just completed a long dialog with A.J.Bell about this. I had HMRC email proof that if I had to pay LTA Tax after the 75 year. Test. Then I could pay extra contribution into the fund to cover the tax as a non relievable contribution. This is a concept outwith their imagination. They maintain your pension fund must be damaged by the sale of assets. My position was if they did not accept this payment, they were causing a forced sale of assets and opening themselves to claims for damages going forward 20 years plus. Fell on deaf ears. Mr Bell used to be progressive and helpful to clients now they are just scared of HMRC. A sharp intake of breath by a Pension Service employee would be enough on any question.


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