Claiming to change amount on account

by **kabads** on Sun Jan 22, 2012 8:24 pm

My wife has received a bill over £1000 and therefore now has been requested to pay 2011-12 on account. However, within that year she started making regular contributions to a personal pension, which has not been the case with previous self-assessments. So, in theory, she should pay less next year. Therefore, I'm looking to apply to adjust her payment on account for 2011-12.

I've read the hints on the self-assessment site which instructs me to estimate how much less I should pay. However, I'm not sure how much less she will pay. My first guess is that it will be minus 20% of her pension contributions in the period 2011-2012. Is this a fair adjustment - or is there something else I should factor in? To be honest, this is a complete guess, but I've got nothing else to go on.

TIA
Adam

by **mullet** on Sun Jan 22, 2012 9:16 pm

Reductions in POAs are often educated guesses. Just do the best you can and make your claim.

by **King_Maker** on Mon Jan 23, 2012 9:36 am

Unless your wife is a higher rate taxpayer, pension contributions should not affect her tax liability.

If she was, then a reduction for 2011-12 POAs could be due. If she underestimates these POAs, interest will be due and backdated to the due dates.